Nisa approval for Co-op deal
NISA Retail members have backed a £137.5million takeover of the convenience chain by the Co-op Group.
The deal, worth £143million including costs, won the support of 75.8 per cent of members, just above the 75 per cent required to succeed.
The remaining 24.2 per cent rejected the offer, with about 60 members attending the meeting held at Leeds United Football Club’s Elland Road stadium. Turnout was 80 per cent, with most casting proxy votes online.
Nisa’s membership of nearly 1,200 retailers will receive £20,000 up front as well as deferred payments worth over £410,000 for those who own the maximum 250 shares.
Additional rebates will be paid out over four years and the Co-op will also take on Nisa’s £105million debt.
Nisa, which supports over 3,200 shops around the country, will remain a standalone business and brand, with members operating their stores as they wish and able to choose how much they buy from the Co-op.
Nisa chairman Peter Hartley said: “We are delighted that our members have chosen in such significant numbers to vote in favour of Co-op’s offer. We as a board are firm in our belief that a combination with the Co-op is in the best interests of Nisa’s members.
“The convenience store environment is changing rapidly, and is unrecognisable from that which existed when Nisa was founded more than 40 years ago. “Co-op will add buying power and product range to our offering, while respecting our culture of independence.”
The Co-op, owned by more than 4.5 million members, already has about 2,800 food stores. It seized its chance to land Nisa after favourite Sainsbury’s decided to await the verdict of competition watchdogs into Tesco’s £3.7billion takeover of wholesaler Booker Group.
Its food chief, Jo Whitfield, said: “Together Co-op and Nisa can go from strength to strength, serving customers up and down the country and creating real value in their communities.”
The deal, which gives the combined group seven times the buying power of Nisa, requires Competition and Markets Authority approval, expected in March.