Big Food courting Londis shareholders
Takoever would maintain independence, says Grimsey
December 29 2003
Big Food Group has stepped up its attempts to win over Londis shareholders ahead of this week’s crucial meeting of the besieged symbol retail group.
Big Food Group chief executive Bill Grimsey said in a statement that Londis would be managed as a separate company and that the 2200-plus independent retailers who make up the group would keep their current or improved trading terms after any takeover.
The Big Food-owned Booker wholesale business already operates a distribution network to retailers.
Grimsey said: “We are eager to put our business case to Londis shareholders so they know the facts about how we anticipate working with them if we are successful.”
The Londis independent shareholders group has warned fellow Londis shareholders against hasty acceptance of any offer from Big Food, Irish retail group Musgrave, or any other potential bidder.
The group plans to challenge the Londis board at this week’s meeting by formally opposing the re-election of non-executive director Dan Driscoll.
Hoping to stave off a widespread shareholder rebellion, Londis has appointed accountants KPMG to undertake a review of the structure of the business.
