Ocado has survived being relegated from the FTSE 100 index, despite a sharp fall in its value since the Covid-19 pandemic.
This follows recent talks that its partners Marks and Spencer (M&S) will be replacing the online-only grocer in the index.
However, the company saved itself with the help from M&S, after it saw its share price pickup last week.
According to Hargreaves Lansdown, head of money and markets Susannah Streeter, Ocado has been “lifted on the coattails of M&S”.
She told The Guardian: “Although their joint venture has been struggling, M&S has staged a slick recovery and still spies further potential with their partnership.
“It is planning to deepen its collaboration with an Ocado Retail reset underway. This will include leveraging the potential of its vast treasure trove of M&S customers.”
The Ocado Retail business, run as a joint venture with M&S, had a value of over £21 billion in 2020 as customers shopped online during the pandemic.