Tesco Dunnhumby sale stalls but eastern European stores could fetch £3bn
Tesco’s sale of data arm Dunnhumby is in doubt with the supermarket reportedly struggling to come to terms with WPP.
With Tesco looking to offload the firm behind its globally envied Clubcard scheme, a number of buyers expressed interest in the company.
Earlier this year, WPP forged ahead as the most likely buyer, however the deal has stalled in recent weeks, city sources told the Sunday Times. WPP has raised concerns with Tesco’s contract with Dunnhumby which is in place until 2020.
Furthermore, the unit’s US growth potential has been called into question following it breaking its partnership with Kroger back in April.
Tesco values Dunnhumby at £2bn but has failed to shift it at such a rate sparking speculation it could be worth as little as a quarter of that figure.
In chief executive Dave Lewis’ push to balance the books, Tesco looks set to shift as much as £3bn in the sale of its eastern European stores.
The retailer is in talks with private equity firms to offload its Polish, Czech Republic and Slovakian operations.