Supermarket cooperative Foodstuffs has pulled the plug on its 15-year stake in The Warehouse Group Limited and cashed out.
The Warehouse shares were placed in a trading halt while the transaction took place.
The Warehouse said it had received notification from Cash Wholesalers, Wardell Bros & Coy and Foodstuffs Auckland Nominees that it had entered into a binding agreement to sell its entire 9% shareholding via an underwritten sell-down.
Antoinette Laird, Head of Corporate Affairs at Foodstuffs New Zealand told FMCG Business: “In 2006 and 2007 Foodstuffs subsidiary companies together purchased a shareholding in The Warehouse Group Limited. Foodstuffs has decided that it is the right time to sell its shareholding via an underwritten sell-down and reinvest the capital in new customer focused activity.”
When The Warehouse started a grocery offering about 15 years ago, bundling in pharmaceuticals as well, Foodstuffs came on board as a shareholder.
However, as of this week, Foodstuffs companies no longer own any shares in The Warehouse Group Limited.