Apollo Global Management Inc. is in talks to join forces with Fortress Investment Group’s 6.3 billion-pound ($8.6 billion) bid for Wm Morrison Supermarkets Plc and said it won’t make a separate offer for Britain’s fourth-largest grocer.

Apollo said Tuesday it’s in preliminary talks to join up with Fortress. Morrison previously rejected a 230 pence-per-share bid from private equity firm Clayton, Dubilier & Rice LLC and later agreed to the offer from Fortress and its partners.

Morrison is attracting takeover interest as it has a large real estate portfolio, owning about 90% of its near 500 stores. The business, whose turnaround has been led by Chief Executive Officer Dave Potts, generates large amounts of cash and its finances are solid with low underlying debt and a pension surplus. The fortunes of leading supermarket chains are improving after lockdowns triggered a surge in grocery spending.

The retailer’s stock fell 0.3% to 262 pence on Monday. Fortress is offering 252 pence a share plus a 2 pence special dividend.

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