Falabella, Steinhoff in race for Brazil's Via Varejo -newspaper

Banco Bradesco

24/11/2016 10:50

SAO PAULO, Nov 24 (Reuters) - SACI Falabella SA  FAL.SN , 
Steinhoff International Holdings Ltd  SHFFp.J  and Lojas 
Americanas SA  LAME4.SA  are among a group of retailers 
interested in acquiring appliance retailer Via Varejo SA, Valor 
Econômico newspaper said on Thursday. 
    Valor, citing people with knowledge of the situation, said 
GPA SA  PCAR4.SA , Via Varejo's controlling shareholder, had 
received a list of potential interested parties from Banco 
Santander Brasil SA, its advisor in the deal. 
    Late on Thursday, GPA's board authorized management to start 
proceedings to sell the 43.3 percent controlling stake it has in 
Via Varejo. Executives and press representatives for 
Santiago-based Falabella, Johannesburg-based Steinhoff and Rio 
de Janeiro-based Lojas Americanas did not immediately comment. 
    Via Varejo did not have an immediate comment. 
    GPA, Brazil's largest diversified retailer, wants to exit 
Via Varejo to focus on food retailing. The company, which owns 
supermarkets under the Pão de Açúcar brand, posted a larger than 
expected third-quarter loss, due in part to a sharp drop in 
non-food sales at the group.  
    Brazil's appliance retailing segment has struggled over the 
past two years with the impact of a recession not seen in eight 
decades and a credit crunch, which worsened as unemployment and 
interest rates climbed.  urn:newsml:reuters.com:*:nL1N1D4291 
    France's Casino Guichard Perrichon SA, which in turn 
controls GPA, hired Santander Brasil  SANB11.SA  to advise on 
the Via Varejo deal. The Klein family, holder of a 27.3 percent 
stake, has hired the investment banking unit of Banco Bradesco 
SA  BBDC4.SA  as advisor. 
 
 (Reporting by Tatiana Bautzer; Editing by Guillermo 
Parra-Bernal and David Evans) 
 ((tatiana.bautzer@tr.com; Tel: +55-11-5644-7756; Mob: 
+55-119-4210-4173; Reuters Messaging: 
tatiana.bautzer.thomsonreuters.com@reuters.net)) 
 
Keywords: VIA VAREJO M&A/