- Morrisons will take a minority stake of around 20 percent in MFG
- MFG is an independent forecourt operator
- CD&R is a global private equity manager based in London
Morrisons and Motor Fuel Group (MFG), backed by Clayton Dubilier & Rice (CD&R), have agreed to the proposed acquisition of 337 Morrisons petrol forecourts by MFG in a £2.5 billion deal ($3.1 billion; €2.9 billion).
The petrol forecourts include fuel, convenience retail kiosk and ancillary services and over 400 associated sites across the UK for Ultra-Rapid electric vehicle charging development.
Morrisons will take a minority stake of around 20 percent in MFG as part of the transaction.
The proposed transaction will create synergies across fuel retail and ancillary services, as well as scale advantages and growth opportunities for both businesses, according to a release.
MFG is targeting the installation of 800 Ultra-Rapid 150kW EV chargers in hubs within the first five years.
The proceeds of the sale will fund investment in the grocery and food making businesses for Morrisons, as well as strengthening the business’ capital structure, the release said.
The transaction will be a creator of jobs as investment in EV charging, valeting and the expansion of the convenience offer and modernisation of Morrisons petrol forecourts drives traffic to the expanded MFG estate, the release added.
MFG is an independent forecourt operator based in Hertfordshire, England.
Morrisons is a supermarket chain in the UK.
CD&R is a global private equity manager with offices in New York and London.