South Africa’s Bid Corp sells food logistics unit to Tesco arm

Oct 3, 2019: South African food services company Bid Corp is selling off its UK-based food logistics unit to Tesco Plc's unit, Booker Group.

Bidcorp, which operates in Europe, United Kingdom, Australasia and emerging markets, said that it entered into a contract for the disposal of UK-based Best Food Logistics, in a statement to its shareholders.

Best Food Logistics is non-core asset of Bidcorp's, the group said. The transaction is subject to approval of competition authorities in the UK, and could take several months to finalise.

"There will be no material financial impact on Bidcorp's consolidated net assets or profit for the year ending June 30, 2020 as a result of the transaction," the notice read.

Best Food Logistics has been classified as a discontinued operation in the 2019 financial results, which were released earlier this year in August.