Business Insider has learned that digital ad firm Eero Group has entered the UK’s grocery industry with plans to acquire UK supermarket Chain by Chain.
Eero Group will acquire the chain, which is one of the largest supermarkets in the UK, and will also buy a majority stake in it’s parent company.
Eroro, which was founded in the Netherlands and is based in New York, is owned by the world’s largest grocery retailer, Aldi.
The deal is subject to regulatory approval, which will be discussed by the Government and regulators.
Eros shares rose 5% to a fresh 6,000p in London on Monday, the first time they have recovered from a sharp fall earlier this year.
Shares of Eero were up about 2% on the day.
The supermarket chain has been under increasing pressure from rivals such as Amazon, which has made a push for an expanded digital offering.
In November, Amazon unveiled a $1 billion investment in Eero to help it compete with Amazon Prime, the digital subscription service that offers Prime members free access to thousands of free Amazon products and services.
Ero’s digital ambitions have already been tested, with the company’s latest online shopping results showing it was ahead of its competitors in the market for e-commerce sites and services that deliver e-books, e-health and e-gift cards.