CITYDESK

Nisa yes to Co-op deal IKEA SALES IN SLOWDOWN

THE shopkeepers who own convenience chain Nisa yesterday narrowly backed a £137million takeover by the Co-op.

The deal needed 75 per cent approval by Nisa members and got 75.79 at an emergency meeting.

Nisa are a member-owned business with more than 3000 stores and a wholesale arm. Chairman Peter Hartley said: “We are firm in our belief that a combination with the Co-op is in the best interests of Nisa’s members.

“Co-op will add buying power and product range to our offering, while respecting our culture of independence.”

The deal will need regulator approval. THE pound fell yesterday after a report that Prime Minister Theresa May is facing a 40-strong rebellion from her Conservative backbenchers. Sterling was down 0.6 per cent against the US dollar at $1.31. The fresh bout of political uncertainty also weighed on the pound’s performance against IKEA have seen sales grow at their slowest rate for four years.

The flat pack giants said takings rose 5.8 per cent to £1.8billion in the year to August 31, down sharply from the 8.9 per cent jump the previous year.

UK boss Gillian Drakeford said: We have had a slight change because of Brexit and uncertainty in the wider world.” She said IKEA still grew their market share by 0.5 per cent, with sales up 57 per cent in the past six months.

IKEA were hit with a near 14 per cent surge in the cost of imported products because of the weak pound but upped prices by just over three per cent on average in August. They created 1000 jobs last year, bringing their number of workers here 10,900, with a further 850 planned at new stores in Exeter and Greenwich.