Casino Guichard-Perrachon said on Friday that it has started a conciliation process with its creditors and has agreed to sell several stores to a competitor.
The French food merchant, which has battled with weighty obligations and disintegrating piece of the pie in its nation of origin, said the mollification methodology will start under the guidance of the business court in Paris, and with the arrangement of its lenders and bondholders.
The reason for the methodology is to give a lawful system to the gathering to have conversations around its obligation, Gambling club expressed, highlighting late arrangements and recommendations intending to get its monetary future.
According to Casino, trading in the company’s shares will resume on the Paris exchange at market opening on Friday, after being suspended since Monday pending a statement.
Casino, on the other hand, stated that it had reached an agreement to sell some of its stores in France to Les Mousquetaires, which owns and operates the Intermarche hypermarket chain. Casino stated that Les Mousquetaires paid a one-time payment of EUR100 million, which would be deducted from the final sale price, and that the stores generated approximately 1.65 billion euros (or $1.77 billion) in sales. According to the company, the first disposals will occur by the end of the year.
A further tranche of stores could likewise be sold, addressing EUR461 million in deals, at an underlying singular amount cost of EUR90 million, Gambling club said.
According to the company, the final sales prices will be paid in cash and based on market value.
Source – Marketwatch