Kingfisher also paid Praktiker’s debts of GBP4 million (EUR4.5 million), thus paying around GBP19 million for the network.
“On 30 November 2017, the Group obtained control of Praktiker Romania S.A.by acquiring 100% of its share capital for a consideration of GBP14 million, all of which comprised cash. Praktiker is a home improvement retailer operating 26 stores across Romania and was acquired to strengthen the Group’s position in Romania. Immediately following the acquisition, Kingfisher settled Praktiker’s bank loans of GBP4 million,” Kingfisher said in its report.
In the period from 30 November 2017 to 31 December 2017, Praktiker contributed sales of GBP8 million and a retail loss of GBP1 million.
Kingfisher, which was already present in Romania through Brico Depôt, bought Praktiker in November 2017, strengthening its position on the Romanian DIY market, estimated at RON3 billion.
Kingfisher officials recently said it would close three of its 26 Praktiker stores. The stores in Focsani, Bacau and Ploiesti are due to cease operations by end-May.