France: Casino divests stores

Casino, the French supermarket group, has announced plans to sell of a total of 32 hypermarkets and supermarkets in France as part of a plan to dispose of non-strategic assets.

The retailer said it had signed agreements to sell six hypermarkets located outside the Paris region in the towns of Castelnaudary, Saint Gregoire, Dole, Cholet, Anglet and Castres, to E. Leclerc for a combined consideration of €100.5 million ($115 million). It said the stores were among the least performing in its network, representing combined net sales of around €150 million ($172 million) in 2018 and a total trading loss of around €8 million ($9.2 million).

Separately, Casino said it had signed an agreement with funds managed by Fortress Investment Group for the sale of 26 hypermarkets and supermarkets properties worth €501 million ($574 million). Funds managed by Fortress Investment Group will create a specific entity to acquire the portfolio in order to enhance its value and sell it on the market under the best possible conditions, the retailer said. Casino will receive an interest in this new entity, enabling it to benefit from the value created by the transaction, the company added.

Source: Casino