Metcash CEO, Andrew Reitzer, announced last week the company is preparing a complete takeover of Mitre 10 Group. The acquisition is subject to the Mitre 10 Group’s audited accounts for the year ending 30 June 2012 being in accordance with Metcash’s expectations and there being no material adverse changes to the market or operations prior to the accounts being finalised, he said.
“We are delighted to be able to acquire the balance of Mitre 10, which has proven to be a highly strategic and value adding business pillar,” he said.
“The acquisition will provide an enhanced ability for Metcash to leverage its proven merchandising and brand management skills and world class logistics capability.”
Further details of the acquisition will be included in Metcash's results announcement on 28 June 2012. Commenting on Metcash’s earnings for the year to 30 April 2012, Reitzer reiterated existing guidance of low to mid single digit growth in underlying earnings per share, excluding one off charges associated with the recently announced strategic review.
“Trading conditions continue to be challenging with shifts in consumer patterns and deflation persisting. Metcash will remain focused on securing the savings identified from the strategic review and expects underlying earnings per share growth for the year to 30 April 2013 to be broadly in line with FY2012.”