7 September 2016

Steinhoff Agrees to Buy Retailer Tekkie Town of South Africa

South African furniture, clothing retailer agrees to buy seller of school, sports footwear for undisclosed sum.

* Tekkie Town operates from 302 stores in southern Africa;
* FY diluted adjusted eps falls 3% to 29.5 cents after shares in issue rose 25%;
* Operating profit gains 32%; Rev. rises 33%;
* Growth underpinned by resilience of discount markets, established market position, expansion strategy in Europe and the continued sales momentum in Africa;
* NOTE: Steinhoff Shares Slide After Retailer’s Profit Misses Estimates;
* NOTE: Steinhoff Valuation Can Double in Five Years, Chairman Says. Source: Bloomberg