EUROPE: Metro completes Kaufhof sale to Hudson’s Bay | Progresiv
The Metro Group has completed the divestment of its Galeria Kaufhof chain to Canadian peer Hudson’s Bay, in a previously-announced move that sees it exit the department store business. The deal for the 134 stores was worth 2.825 billion euros (including “various liabilities”). 
Metro said the move will help it net around 1.75 billion euros in cash, which is “above previous forecasts” and which will go towards lowering it debt levels. It also expects a positive operating profit effect of around 750 million euros from the sale.
Olaf Koch, CEO of Metro, noted: “With the disposal of Galeria Kaufhof, we are continuing with the transformation process and debt reduction at Metro Group and are able to focus on the Metro Cash & Carry, Media-Saturn and Real sales lines. We will also use a part of the proceeds for acquisitions in order to strengthen and supplement our Metro Cash & Carry and Media-Saturn sales lines.” (www.kamciy.com)
