Tesco nets £605m from freeholds
TESCO sold the freeholds of 13 of its UK stores for £605million yesterday as it moved towards its target of raising £5billion from its property portfolio by 2011.
It secured agreements to lease the stores back from the four institutions that bought them.
The supermarket giant has now raised nearly £2billion of the target it set in 2006. Its properties are worth more than £30billion.
The money raised is going towards funding growth.
Last week Tesco announced plans to set up a wholesale cash-and-carry business in India, and last year it opened stores in the US.
The retailer also made a big push into banking last month with a £950million deal to buy out Royal Bank of Scotland from their Tesco Personal Finance joint venture.
Shares in Tesco rose 1p to 371dp.