Sainsbury’s share price: Grocer names new CEO of Home Retail Group
J Sainsbury (LON:SBRY) has promoted its finance chief to chief executive of Home Retail Group, when the merger between the two companies is completed, the blue-chip grocer has said. The move comes with the tie-up currently facing scrutiny by the UK’s competition watchdog.
Sainsbury’s share price has fallen into negative territory this morning, having shed 1.62 percent to stand at 243.50p as of 10:02 BST, as compared with a 1.34-percent drop in the benchmark FTSE 100 index. The grocer’s shares have lost more than six percent of their value over the past year, and are down nearly five percent in the year-to-date.
Sainsbury’s announced in a statement to the London Stock Exchange this morning that it intended to promote its Chief Financial Officer John Rogers to the role of Chief Executive of Home Retail Group upon completion of the grocer’s proposed acquisition of the business, expected in the third quarter. In his new role, Rogers will report to Sainsbury’s chief executive Mike Coupe, and will be responsible for combining the supermarket’s non-food business with Argos, as well as for the delivery of the ongoing digital transformation and performance of Home Retail Group.
Sainsbury’s finance director Ed Barker meanwhile will take over as CFO of the enlarged company on an interim basis.
The news comes after the Competition and Markets Authority recently launched an inquiry into Sainsbury’s tie-up with the Argos parent. The watchdog is scheduled to announce its decision whether to refer the merger for a more detailed Phase 2 investigation by July 25.
Sainsbury’s updated investors on its quarterly performance earlier this week, posting a 0.8-percent drop in like-for-like sales in the 12 weeks to June 4.
As of 10:20 BST, Friday, 10 June, J Sainsbury plc share price is 243.55p.