Giant British retailer Tesco Plc is no longer pursuing takeover bid for Coles Group Ltd, a source familiar with the situation told Reuters on Thursday.
â€œThey viewed it as a massive turnaround being required and a huge resource commitment,â€ the source told Reuters, referring to Coles Group.
Sources said Tesco prefers to set up on its own in emerging markets.
Tesco used Merrill Lynch to explore a possible Coles offer, sources confirmed last week, but had decided against it in recent days as being unsound.
The two remaining bidders for Coles are Wesfarmers Ltd., an Australian conglomerate and private equity consortium including giant Kohlberg Kravis Roberts.