Iceland’s veteran founder, Frozen Food Chain, could be the ultimate supermarket discount deal: a £ 50m buyout that is a few million pounds less than the purchase price.
Sky News has learned that Malcolm Walker has agreed with South African company Bright to pay the remaining two installments of £ 115 million before scheduling.
Under an agreement announced in June, Bright said it would close 633% of Iceland to Walker, who founded the business just 50 years ago, and to Iceland chief executive Tarsem Dhaliwal.
The transaction paid the first puzzle of the next 60 million, paid 26 26.5 million on July 30 of the following year and মাস 28.1m 12 months later.
“Discounts will be waived for the initial payment in case Neco can complete or partially settle the payment at any time before or before the date of this payment,” a statement said in June.
Sources said both sides have now agreed to settle the full amount, with a ের 5 million discount on the overall purchase price reportedly settled.
It is said that the initial payment of the arrears of 50m was demanded by Bright as it fights to recover the price from its other original UK retail asset, fashion chain New Look.
Brett also controls Virgin Active, which has been badly affected by the coronavirus epidemic in major markets in the UK and South Africa.
Iceland does business from around 1000 stores across the UK, but faces increasing competition from price-conscious competitors such as Aldi and Liddell, as well as general merchandise retailer B&M, which now sells cheap frozen food.
Iceland declined to comment, although Bright could not be reached for comment on Sunday.