Tesco has finally sold the 181-store Dillons CTN chain to TM Retail for just £8.3m with a further £4m to £5m for the stock.
The companies refused to disclose the price but financial sources confirmed the details.
Tesco acquired Dillons when it bought T& S Stores in October 2002 and has been trying to dispose of the chain ever since.
TM, which already has 1,161 stores under the Forbuoys, Martins and McColl’s fascias, including 300 c-stores and about 700 CTNs, will extend its domination of the CTN sector with the addition of Dillons stores in England and Wales.
TM Retail MD David Saunders said he would invest £1m to introduce the company’s EPoS system across the Dillons estate in a four month roll-out which would improve availability and develop more targeted ranges.
He said: “We see the integration as something which can be achieved quickly and smoothly. At present there is no intention to change the various Dillons fascias as we have a long and proven experience of
John Wood