Jefferies sees value in Metcash, calls Peries acquisition a 'defensive' move
Mon 21:57
BUZZ-Jefferies sees value in Metcash, calls Peries acquisition a 'defensive' move ** Jefferies maintains a "buy" rating on Metcash MTS.AX with an unchanged A$3.40 price target following the company's acquisition of Queensland supermarket operator Peries Group
** Says the deal appears defensive, aimed at keeping the 15-store Peries supermarket network within the IGA network rather than losing it to a competitor
** Brokerage sees scope for future divestments of the stores or joint-venture arrangements with an existing IGA operator
** Expects the acquisition to be marginally earnings accretive, adding about 0.7% to earnings per share
** Stock down 4.2% YTD, as of last close
(Reporting by Paridhi Minda in Bengaluru)
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