Two Tesco shareholders have called on the supermarket to withdraw its £3.7bn offer to buy Booker, Retail Express understands.

Schroder Investment Management and Artisan Partners are Tesco’s third and fourth largest investors with a combined stake of just under 9%.

In a letter to Tesco Chairman John Allen, Schroders called on investors to oppose the deal.

“There is compelling evidence that, on average, acquisitions destroy value for acquiring shareholders. We believe that the high price being paid for Booker makes the destruction of value more like,” read the letter that was revealed by Reuters.

Tesco's shares rose when the deal was announced on January 27 but are now down by 8% this year so far.