tesco takeover rumour ... article

Tesco suggested as possibly interested in the warehouse
Source: WELLINGTON, Nov 14 NZPA
Published: November 14 2006, 07:24AM

British grocery giant Tesco is being suggested as possibly interested in buying The Warehouse.

A source close to The Warehouse founder Stephen Tindall said a major player in the international grocery business -- thought to be Tesco -- was interested in the New Zealand retailer, The New Zealand Herald reported today.

But the interested party was not yet involved in formal discussions, the source said. advertisement

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Other sources played down the prospects of another player and suggest Mr Tindall may retain his stake and look at other options.

Mr Tindall owns 27 per cent of the company and The Tindall Foundation -- the charity he started -- owns 21.7 per cent.

He had intended trying to privatise the company, but withdrew the proposal after Woolworths Australia bought 10 per cent. Grocery rival Foodstuffs also has 10 per cent