Morrisons has reportedly secured a £370m deal with real estate investor Song Capital to generate value from its property portfolio, as its private equity owners aim to reduce the supermarket chain’s debt.
According to a Sky News exclusive, the agreement gives Song the right to receive income from 75 Morrisons supermarkets for 45 years, while Morrisons retains ownership of the properties.
This deal follows the 2021 takeover of Morrisons by Clayton Dubilier & Rice (CD&R) for nearly £10bn. Since then, Morrisons has faced tough competition from Tesco and discounters Aldi and Lidl.
Under CEO Rami Baitieh, the supermarket has improved profitability and reduced net debt from £6.2bn to around £4bn.