The Co-operative has bought Scottish convenience retailer David Sands Ltd to take on 28 new outlets as part of its plans to open 300 more stores in the next three years.
Contracts have been exchanged and the sales is expected to be completed in in the next two months once it has been reviewed by the Office of Fair Trading.
David Sands is a family-run business set up in 1812 that now employs nearly 700 people, all of whom are set to join the Co-operative Group in line with its plans to take on 7,000 staff as it opens its new outlets.
In the last two months, The Co-operative has opened 16 new food stores, including eight in Scotland, and later this month it will launch a brand new food store at Bridge Road, Battersea.
The opening is part of the prestigious Royal College of Arts’ major campus expansion, following a £770,000 investment.
Peter Marks, group chief executive of The Co-operative Group, said: “This major acquisition is another important step in our plans to expand The Co-operative Food estate.
“The Sands stores will be a valuable addition to our food portfolio as we forge ahead with our programme to grow the business by seeking new opportunities at the heart of local communities right across the UK.
“Furthermore, this deal will significantly strengthen our position in Scotland, especially in Fife, Kinross and Perthshire, and complement our existing store estate, which operates from the Highlands and Islands to the Borders.”
The Co-operative, which is the UK’s largest mutual business, currently has 370 food stores in Scotland, serviced from a state-of-the-art composite distribution centre which opened in Newhouse, near Glasgow, in 2011.
The Co-operative Food is the fourth largest food retailer in Scotland, with an annual turnover of more than £1 billion.
David Sands, chief executive of David Sands Ltd said: “The Sands family would like to take this opportunity to thank our many great staff, suppliers and customers for their continued support.
"We believe that the acquisition of our business by The Co-operative Group, another responsible retailer, offers a fantastic opportunity for continued investment in our stores and our people, and a continued commitment to Scottish local communities, local produce and local suppliers.
“There are many similarities and synergies between David Sands Ltd and The Co-operative - we share many of the same values including our commitment to supporting local suppliers and I have every confidence they will continue to invest in, grow and develop our stores and our people in the future.”
