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Online grocer FreshDirect has bought back the stake U.K. grocer Morrisons acquired in the company back in 2011.
According to British newspaper The Guardian, New York City-based FreshDirect paid £45 million ($58.7 million) for the stake; Morrisons was said to have paid £31 million ($40.4 million) five years ago. The move was an attempt by Morrisons to shore up its bottom line by focusing on its core business. On the e-commerce front, the grocer currently operates its own e-grocery service in partnership with fellow U.K. company Ocado, which it recently expanded, and has also inked a deal to supply wholesale groceries to Amazon in the U.K.
“We can confirm that FreshDirect repurchased these shares on terms that were favorable to FreshDirect and its other shareholders,” a public relations representative for the company told Progressive Grocer, declining to name the amount paid. “We had a very amicable and beneficial relationship with Morrison over the past five-and-a-half years.”