UK supermarket chain Tesco is reported to be considering a £10bn (US$15.7bn) offer for the assets of beleaguered Dutch retail giant Ahold.

According to a report in the Independent on Sunday, a committee of five Tesco executives is working on an assessment of Ahold, which last week revealed accountancy irregularities at its US and Argentinean operations. The committee is to report this week to Tesco’s chief executive Sir Terry Leahy, who will then decide whether to approach Ahold’s board with an offer.

The accounting irregularities at Ahold led to the resignation of the company’s CEO and CFO, and resulted in a collapse in the company’s share price.

“Tesco has to know it cannot expand in the UK so its only chance of a transforming move is abroad. This is too good a chance to miss,” the paper quoted a City analyst as saying.

Tesco said it was “surprised” by the newspaper report.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.