Potts exits after main Morrisons by its acquisition by American non-public equity fund Clayton, Dubilier & Rice in a bid led by ex-Tesco boss Sir Terry Leahy . That £7 billion, funded largely by debt , adopted an intense bidding struggle.
He shall be changed by Rami Baitieh, who led French grocery store large Carrefour , in November.
In his exit, Potts admitted – as had been extensively reported – that there had been discussions about his exit for a while.
He mentioned: “Terry and I have had several conversations about succession since the buyout in 2021. We had a clear understanding that I was prepared to devote several more years to Morrisons if that was required but that if an outstanding successor was identified who could lead Morrisons for the long term then I would step down.”
Leahy mentioned: “Rami will bring energy, innovation and dedication to expanding Morrisons’ loyalty programmes and digital reach, while ensuring that the company’s long legacy of quality, and mission to deliver value for shoppers, is preserved.”
Morrisons has slipped down the grocery store league desk of late, with consumers turning to low cost retailers like Aldi and Lidl as an alternative. It fell to fifth in market share earlier this yr, behind Aldi, with an 8.6% share.
Last yr, the grocery store reported a pre-tax lack of £1.5 billion, together with £400 million in curiosity prices.
Victoria Scholar, Head of Investment at Interactive Investor, mentioned: “Morrisons is somewhat squeezed in the middle with intense competition from Tesco’s sheer size as well as the rock bottom prices on offer from the German discounters.
“The challenging economic backdrop with elevated inflation and higher interest rates has squeezed consumer budgets and impacted shoppers’ behaviour by making them increasingly price sensitive and on the hunt for bargains.”
Before becoming a member of Morrisons, Potts had spent virtually 40 years at Tesco.
