Morrisons has acquired a stake in a US grocery business in a deal which will see ceo Dalton Philips join the company's board.
As part of its online development, Morrisons - the only one of the big four supermarkets not to have a significant internet business - revealed it had invested £32 million in a 10 per cent stake of a New York-based online grocer, FreshDirect.
The Bradford-based retailer vowed to catch up with its online rivals offering a food and non-food service within the next two years.
The supermarket posted a 13 per cent increase in underlying pre-tax profits of £869 million in the year to 30 January.
FreshDirect was launched in 2002 and serves 600,000 customers in New York, New Jersey and Connecticut.
Morrisons is implementing a growth strategy which is focused on expanding its e-commerce business and moving into the convenience store market. It has earmarked £3 billion in investment over the next three years.
Morrisons also revealed it would open three convenience stores, around 3,000 sq ft in size, in July under the name M Local. The shops will be located in Morrisons' heartland in the north of England, in neighbourhoods around the M62 motorway.
The company said the convenience business was the second-fastest growing part of the market. Rival models include Tesco Metro and Sainsbury’s Local.
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