The cash and carry firm Booker Group PLC (LON:BOK) said it is still hopeful its £3.7bn takeover by grocery giant Tesco PLC (LON:TSCO) will complete early next year as it unveiled solid growth in the first half of the financial year.
Sales for the 24 weeks ended September 8 were up 2.5% at £2.6bn, giving profit before tax of £88mln, up 9%.
READ: Booker says Tesco takeover competition review is progressing as it reports quarterly sales growth
Booker, which is sitting on net cash of just over £165mln, is paying an interim dividend of 0.69p a share, a rise of 10% over the year earlier.
The retailer’s non-tobacco revenues first four weeks of the second-half are currently ahead of where they were a year ago.
Tesco deal
Turning to the Tesco bid, which was first unveiled in January; the deal is currently undergoing an in-depth probe by the Competition and Markets Authority (CMA), which is expected to deliver its provisional findings by the end of this month. The final report should be published by the end of the year.
Booker told investors: “It is expected that the merger will complete in early 2018, subject to, amongst other things, the necessary shareholder approvals.
“During this process Booker will continue to ensure it is business as usual.
“We are excited by the opportunities the merger will create for consumers, our customers, suppliers, colleagues and shareholders.”