REG - Kingfisher PLC - Kingfisher announces sale of Brico Dépôt Romania

KingfisherAnnouncement

18/12/2024 07:00

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RNS Number : 4891Q  Kingfisher PLC  18 December 2024

18 December 2024

 

Kingfisher announces sale of Brico Dépôt Romania to Altex Romania

 

Kingfisher plc, the international home improvement company, today announces,
following a competitive process, the sale of its Brico Dépôt Romania
business to Altex Romania for an enterprise value of €70m (1) (equivalent to
£58m(2)).

 

The sale comprises the entire Brico Dépôt Romania business, including its
network of 31 stores in 24 cities, distribution operations, and head office in
Bucharest.

 

The sale is expected to complete during the first half of FY 2025/26, subject
to regulatory approval.

 

Thierry Garnier, Kingfisher CEO, said:

 

"We are pleased to have found an experienced and successful local buyer for
Brico Dépôt Romania. This decision enables us to have greater strategic
focus on markets and growth initiatives where we are most strongly positioned
to deliver attractive returns and create shareholder value.

 

"I would like to thank all Brico Dépôt Romania colleagues for their
commitment and customer focus over the years. Following strong interest, the
outcome of the sale process is testament to the progress the team has made in
strengthening the foundations of the business."

 

Dan Ostahie, Altex Romania CEO said:

 

"Altex Romania, the leader in the electro-IT market, is excited to announce
the acquisition of the Brico Dépôt store network. This marks a significant
milestone for all parties involved, and this first step opens up new horizons
for growth and opportunities in the DIY market in Romania. Our primary goal is
to continue growing while delivering quality services with the customer at the
center of our focus. Our growth strategy is built on an omnichannel model,
ensuring a seamless and enjoyable shopping experience for customers,
regardless of the sales channel they choose.

 

"I want to convey a message of confidence to all Brico Dépôt customers,
employees, and partners. We are committed to developing this business by
bringing innovation and efficiency to every aspect of the operation. Every
member of our team will benefit from opportunities for professional
development and a stimulating work environment that emphasizes collaboration
and excellence. Altex Romania is confident in the future of Brico Dépôt and
is determined to continue serving the community with high-quality products and
services."

 

In FY 2023/24, Brico Dépôt Romania delivered sales of £269m, representing
2.1% of Group sales, and contributed a retail loss of £(18)m and a free cash
outflow of £(17)m.

 

Kingfisher first entered the Romanian market in 2013, when it acquired
Bricostore Romania from French retail business Group Bresson. It expanded its
store network in the country through the acquisition of Praktiker Romania in
2017.

 

This transaction has no impact on Kingfisher's Brico Dépôt banners in
France, Spain and Portugal.

 

Enquiries:

 

 Investor Relations                       +44 (0) 20 7644 1082  investorenquiries@kingfisher.com (mailto:investorenquiries@kingfisher.com)
 Media Relations                          +44 (0)7773 129 567   corpcomms@kingfisher.com (mailto:corpcomms@kingfisher.com)
 Company Secretary                        +44 (0)7768 806 248   secretariat@kingfisher.com (mailto:secretariat@kingfisher.com)

 

Notes to Editors

 

1.   Subject to customary adjustments relating to net debt and working
capital at completion.

2.   Figures presented in GBP use the following exchange rate: EUR 1.21:
GBP1.00

 

About Kingfisher

 

Kingfisher plc is an international home improvement company with over 1,900
stores, supported by a team of over 78,000 colleagues. We operate in eight
countries across Europe under retail banners including Screwfix, B&Q,
Castorama, Brico Dépôt, TradePoint and Koçtaş. We offer home improvement
products and services to consumers and trade professionals who shop in our
stores and via our e-commerce channels www.kingfisher.com
(https://www.kingfisher.com/)

 

Better Homes. Better Lives. For Everyone. At Kingfisher, we believe a better
world starts with better homes and we strive to help make that happen.

 

About Altex Romania

 

Altex is a leading retail company in Romania, with over 130 stores nationwide.
Over more than three decades since its establishment, Altex has grown from a
local television import business into the market leader for electronics, home
appliances, IT&C, and multimedia products in Romania. From the very
beginning, Altex has been committed to offering high-quality products tailored
to consumer needs and providing accessible financing solutions. The "2X the
Difference" service, compared to other online or offline stores, guarantees
customers the lowest price in Romania.

 

Over time, Altex has expanded not only its product range but also its
services. To support customers in accessing financing, Altex established
Credex, a consumer credit company that provides optimal financing solutions
with low-interest rates for purchases made both online and across its national
store network.

 

 

 

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