UPDATE 1-Supermarket groups Carrefour and Tesco will not extend purchasing alliance

(Adds detail and background)

PARIS, June 7 (Reuters) - French supermarket group Carrefour
and its British peer Tesco said on Monday
they would not extend a purchasing alliance between the two
companies.

They said in a joint statement that "they have decided not
to extend their purchasing alliance beyond the three-year
operational framework agreed in 2018."

The alliance formally ends on Dec. 31, they said, adding
that the two would now focus on opportunities independently.

The purchasing agreement https://www.reuters.com/article/cbusiness-us-carrefour-tesco-suppliers-a-idCAKBN1JT2IU-OCABS
had aimed to allow Carrefour and Tesco to cut prices and expand
ranges of their own-label products.

Carrefour has been keen to show it can grow by itself, after
its potential takeover from Canadian rival Couche-Tard
unravelled this year following French government opposition.

Carrefour agreed this year to buy Brazil's third-biggest
food retailer Grupo BIG, and the company also posted strong
first quarter results in April.

By contrast, Tesco reported in April a 20% drop in full-year
pretax profit as the cost of adapting the business for the
pandemic wiped out the benefit of "exceptionally strong" grocery
sales.
(Reporting by Sudip Kar-Gupta; Editing by Edmund Blair)