UK’s Morrisons weighs options for convenience store partner McColl’s – Sky News

(Reuters) – Privately owned British supermarket group Morrisons is considering options on how to deal with the financial struggles of its convenience store partner McColl’s Retail Group Plc, Sky News reported on Tuesday.

Morrisons has appointed investment bank Houlihan Lokey to explore options for its exposure to McColl’s, the report added.

McColl’s last month issued a profit warning and said it was looking at new funding options after an unnamed party withdrew its takeover approach to buy the company.

London-listed McColl’s has been negotiating with lenders since last year and had said it was in talks with banks for a longer-term agreement to secure more funding.

McColl’s and Morrisons did not immediately respond to Reuters requests for comments.

(Reporting by Amna Karimi in Bengaluru; Editing by Shailesh Kuber)