Counter-hostility as defensive strategy in a hostile takeover: The acquisition of Hillards supermarket chain by Tesco

Citation

Garnett P, Mollan S & Richards B (2024) Counter-hostility as defensive strategy in a hostile takeover: The acquisition of Hillards supermarket chain by Tesco. Business History, pp. 1-23. https://doi.org/10.1080/00076791.2024.2321918

Abstract
Hillards was a retail supermarket firm based in Yorkshire in the North of England between 1885 and 1987, when it was subject to a hostile takeover from Tesco. Using archival and interview data this article explores how Hillards pursued a sensemaking process to engage in a strategy of counter-hostility to the takeover attempt. Ultimately the firm was acquired by Tesco. By examining Hillards’ defence strategy, this paper contributes to the understanding of the nature of strategy-making within a takeover. The article shows how in defeat Hillards was able to secure a partial victory in the form of a substantially increased cost of acquisition, so maximising shareholder value. This contributes to the history of the supermarket sector, and the history of family firms in the UK.

Keywords
Yorkshire; hostile takeover; strategy; family firm; family business; supermarket; shareholder value; counter-hostility; sense-making; defence formulation; takeover defence

Journal
Business History

• Published Version