Share of online supermarket Ocado skyrocket on US deal

17 May, 2018, 14:29 | Author: Regina Silva
  • Ocado and Kroger to build online network

The exclusive deal will see Kroger use Ocado's technology as the basis for its assault on online retailing.

In the longer term, Kroger will retain exclusivity in the United States conditional on it meeting market share targets or ordering an agreed number of CFCs per annum. As a result, the U.S. retailer will use its Smart Platform technology on an exclusive basis Stateside, in return for monthly exclusivity and consultancy fees.

He said Kroger, which had sales of $122 billion in its last fiscal year, was the grocer best-positioned to succeed in the USA sector.

Russ Mould, investment director at AJ Bell, comments: 'A USA licensing deal helps extend the astonishing momentum displayed by internet-based groceries business Ocado since the company shifted its focus from being a simple online supermarket to a technology platform provider.

Kroger will identify at least 20 sites to build new, automated warehouse facilities in the US, Tatton-Brown said, more than all of the facilities Ocado has built or is planning to build for all its other partnerships to date.

As part of the deal, Kroger will take a stake in the British company, equivalent to 5 percent of the existing share capital valued at 183 million pounds, Ocado said. It has also inked a deal with a yet-to-be named European retailer.

Pep Guardiola: 'Liverpool will challenge for Premier League title next season'
Gabriel Jesus struck with virtually the last kick at St Mary's to take City to the century mark in suitably dramatic fashion.


Second-Gen Honda Amaze Prices Revealed
The Amaze gets dual-tone interiors with a 3-spoke multi-functional steering wheel and a twin-pod instrument cluster. Moving to the rear, the new Amaze features an angular design with C-shaped tail lamps and a shark fin antenna.


BC woman squats, poops then hurls feces at Tim Hortons employee
Moments later, she grabs the faeces from the floor and hurls it towards the employee before pulling up her pants and storming out. The woman then defecated on the floor and flung the feces at staff members behind the counter.


"Ocado's unique, proprietary and industry leading technology is set to transform the shopping experience of consumers around the world", Steiner said.

Chief executive Tim Steiner argues 'the opportunity to partner with Kroger to transform the way in which USA customers buy grocery represents a huge opportunity to redefine the grocery experience of Kroger's customers and create value for the stakeholders of both Kroger and Ocado.

Rodney McMullen, chairman and CEO of Kroger, said the retailer is on a mission to develop new customer experiences by investing in technology.

"We are actively creating a seamless digital experience for our customers. Our partnership will speed up our efforts to redefine the food and grocery customer experience, creating value for customers and shareholders alike".

Tatton-Brown said the detailed financial terms still had to be agreed, but the deal was expected to be neutral in respect to earnings in the full-year 2018.

Recommended:



Popular

Hawaii born Broadway actress injured in tragic crash loses unborn baby
The driver, Dorothy Bruns, was arrested at her Staten Island home on Thursday, May 3, and has been charged with manslaughter. A couple of months ago I posted about Ruthie Ann Miles , our Tony Award winning actress friend in NY who had lost...

Dublin-based cryptocurrency firm Circle raises $110m
Goldman Sachs-backed payment company Circle has announced that it is introducing a cryptocurrency version of the USA dollar. We're over the moon to have one of the most important and forward-thinking companies join our investor's list.

Ōkami HD Hits Nintendo Switch this August
You can reserve a " for fun " ticket to play casual matches, or a " for glory " ticket that puts you in a more competitive match. Nintendo said you'll want to be sure to add e3expo@e3expo.com to your email so it doesn't get associated as junk.

Meghan Markle's father 'heartbroken' to miss daughter's wedding after surgery
The reason why? Markle and Harry wanted a more casual - if you can call a royal wedding that - celebration. Incidentally, he was also being treated in the hospital last week after hhe had a heart attack.

YouTube Expanding Music Credits on Videos
Why YouTube has waited so long to present this music discovery feature is anyone's guess ( Shazam anyone), but here it is. The latest development in YouTube's progression of updated features will put Musical Artists in the driver seat for once.

Backstreet Boys premiere new single Don't Go Breaking My Heart
Later in the year Backstreet Boys will return to their Backstreet Boys : Larger Than Life Las Vegas Residency. News of the album comes as the group release Don't Go Breaking My Heart , their first single in five years.

RCom shares nosedive 20.5% as NCLT admits Ericsson's bankruptcy petition
However, Tuesday's order from the NCLT means that the asset sale would now be overseen by a court appointed administrator. Recently implemented bankruptcy rules bar takeovers of stressed assets by entities related to the defaulting promoters.

Britain slashes top stake on gambling machines to £2
However, the announcement was widely welcomed by charities, the church and opposition politicians. Bookmakers have warned that the measure will put 21,000 jobs and 4,000 betting shops at risk....

Ant and Dec together again after three-car smash
The newest picture of them in over two months has been posted on social media by Christin Maschmann, who met the lads in London. Ant & Dec have been pictured together for the first time in two months, while enjoying a catch up in the sunshine.

SEC Shows Investors What a Cryptocurrency Scam Looks Like
The SEC's spoof has been well received even by entrepreneurs in the crypto space who are normally wary of regulatory bodies. HoweyCoins says it combines the "blockchain and travel" to offer ICO participants massive discounts on travel expenses.