Makro’s UK business, including 30 superstores, will become part of Booker.
Olaf Koch, chairman of Metro, Makro’s German parent company, said: “In Booker we have found the right buyer for our challenging UK business, which has shown an unsatisfying performance.”
Charles Wilson, chief executive of Booker, said: “Through working together, Booker and Makro UK will improve choice, prices and service for retailers, caterers and SMEs throughout the UK. Together we will offer a wide range of foods and non-foods to our professional customers, via the internet, delivery and cash and carry.”
Mr Wilson also commented that the deal would allow Booker access to the considerably larger product offering that Makro has. Makro has over 29,000 products on its shelves compared with Booker’s 8,500, with a particular strength in office stationery, furniture and toys.
Under the terms of the deal, Booker is paying Metro £15.8 million in cash and issuing £124 million worth of new shares at 79.1p which will be given to Metro. This means that Metro will own a 9.9% stake in Booker.