United Co-operatives in merger talks

United Co-operatives logo

United Co-operatives, based in Rochdale and Sheffield Co-operative Society are in merger talks which could see the two successful businesses joining forces by early 2007.

United Co-operatives, with a turnover of £2.1 billion and employing 16,000 staff and Sheffield Co-operative Society, which has a turnover of £95 million and employs over 1,200 people, have announced that they planning to merge.  The proposal will be presented to Sheffield members at a special meeting to be held in the city on Monday 2 October.  This will be followed by a second, confirmatory, meeting on Tuesday 17 October.  If members approve the proposal, then it would take effect from late January next year.

Announcing the proposal, United’s Chief Executive, Peter Marks, said: “Two strong societies coming together, from strength, for an even stronger future.  That’s the exciting vision behind the proposed merger between Sheffield Co-operative Society and United Co-operatives.  Both societies believe that the proposal will bring significant benefits to members, staff and customers.”

Sheffield’s Chief, Michael Howarth, added: “Being part of a larger, more diverse business would increase career opportunities for staff and with the increased profits which the enlarged Society would produce, would come the ability to support more investment.”

“There is a very a good fit between the two businesses, with both having the same trading strategies, especially in their food operations.  The proposed merger is an excellent opportunity to develop even more effectively throughout South Yorkshire,” Mr. Marks added.

“The societies also share the same values and principles and are committed to running their businesses for the benefit of members, staff and the community,” Mr. Marks said.

Mr. Marks went on to point out that both societies are community retailers with significant food businesses and also have complementary travel and funeral interests.

“If the merger is approved,” he said, “we would look forward to working together to the benefit of Co-op members and customers throughout the enlarged Society.”