Three key points in the Tesco-Booker buyout

Tesco signed an unexpected €4.3-billion deal to purchase rival Booker Wholesale. What’s the rationale behind this external move?

Tony Reynolds: Tesco is the largest retailer in the U.K. (c. 28% market share in the grocery market in late 2016) and Booker is the largest wholesaler. For Tesco, this is the 1^st acquisition under the tenure of C.E.O. Dave Lewis, who has been focussed on divesting non-core businesses (including Tesco South Korea, Giraffe restaurants in the U.K., etc.) since he...