25th Jul 2007 07:01
Kesa Electricals plc25 July 2007 25 July 2007 Kesa Electricals to acquire Spanish electrical retailer Kesa Electricals has signed an agreement to acquire Electrodomesticos Menaje DelHogar Sociedad Anonima ("EMH"), a Spanish specialist electrical retailer, fromfunds controlled by Impala Capital Partners and the Perez family. Considerationis €100 million in cash together with the assumption of net debt. Theacquisition will be funded from existing facilities. For the year to 31 March 2007, EMH reported revenue of €271million and earningsbefore interest, tax and depreciation (EBITDA) was €17million. Chief Executive Jean-Noel Labroue commented: "Spain is the fifth largest European market with further growth potential and isin the process of on-going consolidation. EMH allows Kesa to enter thisimportant market and, with its strong store network, provides a solid platformfrom which we can develop our specialist business model." The transaction is subject to the usual regulatory approvals and is expected tocomplete in the third quarter of 2007. Notes1. Overview of businessEMH operates 54 stores in Spain and 8 in Portugal trading under the Menaje delHogar and San Luis brands. Total store space is approximately 72,000 m2. 2. Financial aspectsConsideration of €100million, representing the equity value of EMH, will bepayable on completion together with the assumption of net debt from the dateKesa management assume operational control. At 31 March 2007 EMH reported netdebt of €32 million under Spanish GAAP. Reported total gross assets at 31 March2007 were €173 million and EBITA was • 12 million for the year then ended. ENDS Enquiries Analysts Kesa Electricals plcSimon Ward +44 (0) 20 7269 1400 Media Kesa Electricals plcAnnabel Donaldson UK +44 (0) 20 7269 1400Guy Lavaud France +33 (0) 1 43 18 52 00 FinsburyAlex Pettifer UK +44 (0) 20 7251 3801 Euro RSCGBenjamin Perret France +33 (0) 1 58 47 95 39 Lazard has acted as sole financial advisor to Kesa Electricals on this transaction. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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