By Samuel Indyk
Investing.com – Shares in Morrisons (LON:MRW) were trading higher on Wednesday as the battle for the supermarket chain looks to be stepping up a gear, with Clayton Dubilier & Rice (CDR) appearing set to make another offer.
The Times reported that the US private equity group is working on a second bid for Morrisons after its previous £5.5 billion offer was rejected last month.
Just days later, Morrisons accepted a £6.3 billion bid from US investment group Fortress.
Apollo Global Management also confirmed they were interested in a bid but yesterday rejected the opportunity to make a solo offer and instead said they would only bid as part of a consortium with Fortress.
Apollo said it was in preliminary stages of talks with Fortress and “may” join the consortium.
Apollo previously tried to purchase Asda from Walmart (NYSE:WMT) last year, before the UK supermarket chain was eventually sold to EG Group and TDR Capital later in 2020 in a deal valued at $8.8 billion.
CDR is said to have lined up a financing package with JPMorgan (NYSE:JPM), Goldman Sachs (NYSE:GS), and BNP Paribas (PA:BNPP). JPM and GS are also reportedly advising on the deal.
At 09:30BST, shares in Morrisons were trading higher by 1.2% at 263.92 pence per share.