Shareholders back Tesco’s £3.7 billion acquisition of Booker

Tesco, Scotland’s largest supermarket operator, has won shareholder approval for its £3.7 billion takeover of wholesaler Booker after investors in both firms approved the deal.

Shareholders voted it through at separate meetings yesterday, despite rumblings of discontent from some of Booker’s institutional investors.

Analysts said the votes paved the way for the creation of the UK’S largest food business and will be seen as a victory for Tesco chief executive Dave Lewis, who rallied support for the deal.

A total of 85 per cent of Tesco shareholders and 83 per cent of Booker investors voted in favour of the deal, which had already been cleared by competition regulators.

Tesco required 50 per cent of investors to back the combination, while the threshold for Booker was set higher at 75 per cent.

Lewis said he was “delighted” at the backing. “This merger is about growth, bringing together our complementary retail and wholesale skills to create the UK’S leading food business,” he said.

“This opens up new opportunities to provide food wherever it is prepared or eaten – ‘in home’ or ‘out of home’ – and will benefit our customers, suppliers, colleagues and shareholders.”

Booker shareholders including Sandell claimed that Tesco’s offer undervalued the owner of Londis and Budgens. 0 Dave Lewis – ‘delighted’ at joint investor votes