Tesco Seeks To Sell Stake In Data Firm
Published on Feb 10 2015 11:19 AM in Retail
Tesco Plc is pursuing in its data-gathering arm Dunnhumby, instead of an outright exit or flotation, according to Reuters.
Tesco announced plans in January to cut costs and sell assets to improve its finance as part of its comeback following market share losses and an accounting scandal, on top of a debt-ratings downgrade.
Dunnhumby, bought by Tesco in 2004, gathers and analyses data from nearly one billion shoppers around the world to help brands create customer loyalty and personalisation programmes. The data it gathers is behind Tesco's Clubcard loyalty scheme and is also sold to clients including Coca-Cola and Unilever. Analysts currently value it at between £800m and £2bn.
According to a source, Tesco does not want a total exit from Dunnhamby, nor is a flotation likely. "It would either be a trade or strategic buyer, or private equity buying a majority stake and Tesco keeping the rest," they said.
© 2015 - Checkout Magazine by Jenny Whelan.