24th Mar 2015 08:17
LONDON (Alliance News) - Kingfisher PLC on Tuesday said it has noted the suspension of shares in Mr Bricolage, the French DIY retail chain, and said it has been made aware of reservations held by the board and a major shareholder over its acquisition of the company.
Kingfisher said both the board of Mr Bricolage and the ANPF, a major shareholder in Mr Bricolage, have reservations in relation to the acquisition of the company, though Kingfisher said it has not yet received any clarification of their position.
The Tabur family, another major shareholder in Kingfisher, has confirmed it remains in favour of the deal, Kingfisher said.
Kingfisher said the implications for the deal are currently uncertain and it will update investors in due course.
Kingfisher struck a deal in April last year to acquire Mr Bricolage for EUR275 million. Under the terms of the proposed deal, it was to acquire a 41.9% stake from from ANPF, which is held by franchisees, and 26.2% from the Tabur Family, at an agreed price per share of EUR15. It would then make a mandatory offer to the minority shareholders. The deal also faced anti-trust scrutiny as Kingfisher already has sizeable French operations of its own.
Shares in Kingfisher were down 2.1% to 364.9 pence just after the open on Tuesday, one of the worst performers in the FTSE 100.
By Sam Unsted; [email protected]; @SamUAtAlliance
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