Ion Tiriac could get 27 million euros in addition to the market value of his shares in Metro Cash & Carry if he agrees to the deal.
German trade group Metro and Ion Tiriac last year set the price at which the Romanian entrepreneur may exit the biggest store chain in Romania, with sales worth 1.23 billion euros.
A few days ago Metro published for the first time information about a potential acquisition of the stake Tiriac holds in the local cash & carry network. "In the financial year 2009, the non-controlling shareholders of Metro Cash & Carry Romania were granted stock tender rights. The recognition of these put options in the balance sheet resulted in goodwill of 27 million euros." The minority shareholder of the local Metro Cash & Carry network is Ion Tiriac, through Zareba Holdings SRL company registered in Cyprus.
Tiriac is the man who convinced the Germans at Metro to enter the Romanian market in 1996, at a time when foreign retailers avoided it because of the low purchasing power. The results in the first year of the local network revealed the tremendous potential of the Romanian trade: in 1998 Metro Cash & Carry Romania posted its first profit and sales of 50 million euros per store, the same as the average registered by the network in 2009.
The sale of the stake in Metro would be the second major exit of the businessman after the exit from the local Mercedes business last year and would see him saying goodbye to a brand that paved the way for the introduction of modern retail formats.
Ion Tiriac could get 27 million euros in addition to the market value of his shares in Metro Cash & Carry if he agrees to the deal.
German trade group Metro and Ion Tiriac last year set the price at which the Romanian entrepreneur may exit the biggest store chain in Romania, with sales worth 1.23 billion euros.
A few days ago
