News Column

PRESS: Tesco Shareholder Sells Down Stake - Telegraph

August 31, 2014

Sam Unsted

LONDON (Alliance News) - A major shareholder in Tesco PLC has sold off nearly two-thirds of its stake amid concerns the retailer has become "too risky", the Sunday Telegraph reported.

David Herro, the chief executive of Harris Associates, the US investment fund, said he had cut his investment from around 3% to 1% due to the absence of a clear strategy, according to the Sunday Telegraph.

"With so many unknowns...those risk factors are just too high to justify [having] a big position", Herro said in an interview with the newspaper.

The sell-off comes after Tesco on Friday issued its second profit warning in two months, saying its annual profits are now expected to be around 25% lower year-on-year, marking the third consecutive year of declines for the group.

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Source: Alliance News

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