Brazil furniture retailer Mobly to take control of rival Tok&Stok
09/08/2024 12:27
SAO PAULO, Aug 9 (Reuters) - Brazilian furniture
retailer Mobly MBLY3.SA has agreed to assume control of rival
Tok&Stok, it said in a securities filing in the early hours of
Friday, ending months of speculation about a potential deal.
Mobly will incorporate Tok&Stok in an all-stock transaction,
with the controlling shareholders of Tok&Stok holding 12% of the
combined company, it said. The firms did not provide valuation
details.
Tok&Stok, which has been grappling with high debt, is owned
by private equity firm Carlyle, the Brazilian operations of
which are handled by asset manager SPX. Mobly has Germany's
Home24 H24.H as its controlling shareholder.
Mobly, with a current market capitalization of 322.7 million
reais ($58.17 million), said the deal would bring significant
benefits, including boosting its annual cash generation by 80
million to 135 million reais within five years.
The transaction requires approval from Brazilian regulators.
($1 = 5.5473 reais)
(Reporting by Gabriel Araujo; Editing by Kirsten Donovan)
((Gabriel.Araujo2@thomsonreuters.com; +55 11 5047-3352;))