Ocado shares drop as John Lewis sells £152m stake

John Lewis; retail; British high street; shopping

Business digest: Retail giant shifts remaining stake in online food delivery company

LAST UPDATED AT 12:14 ON Fri 11 Feb 2011

Shares in Ocado, the home delivery grocer, have fallen 15 per cent after John Lewis pension trust sold its 10.4 per cent stake in the company for £152m.

The online company, which currently has a market value of £1.4bn, has been performing strongly recently. After closing at 285p last night, however, early morning trading today saw the share price fall to 241p.

The John Lewis pension fund has sold all of its 57.3 million shares to a range of institutional investors.

Ocado primarily sell products from supermarket chain Waitrose, which is another division of John Lewis. The food delivery firm insisted that those commercial relations would not be affected by the deal.

Read a full report at the BBC.

For further concise, balanced comment and analysis on the week's news, try The Week magazine. Subscribe today and get 6 issues completely free.

Read next

Nokia and Microsoft team up to fight Android