Subscribe Login
DE4CC0DE-5FC3-4494-BCBF-4D50B00366B5
Retail

Casino's GPA Prepares To Spin Off Colombian Supermarket Operator Exito

By Steve Wynne-Jones
Share this article

Brazilian retailer GPA said it has taken the first steps towards spinning off its Colombian subsidiary Almacenes Exito SA and plans to distribute its shares to existing shareholders.

Reuters reported last year that GPA was considering the spin-off, as its French parent company Casino planned to simplify its structure in Latin America to reduce its debt.

In a securities filing, GPA said Exito had applied to be a publicly-held company in Brazil and list Brazilian Depositary Receipts (BDRs) on the Sao Paulo stock exchange. Exito also plans to list American Depositary Receipts (ADRs) in New York.

The firm expects to deliver the shares in the form of BDRs and ADRs to shareholders in the first half of next year.

Exito Market Value

Exito, which operates supermarkets and shopping malls in South America, has market value of some $925 million (€862.3 million), according to Refinitiv data.

ADVERTISEMENT

Following the spin-off, GPA will retain a 13% stake in Exito, down from its current holding of nearly 97%.

The deal is still pending necessary approvals, including from GPA's shareholders and regulators, the retailer said.

News by Reuters, edited by ESM – your source for the latest retail news. Click subscribe to sign up to ESM: European Supermarket Magazine.

Stay Connected With Our Weekly Newsletter

Processing your request...

Thanks! please check your email to confirm your subscription.

By signing up you are agreeing to our Terms & Conditions and Privacy Policy
Enjoy unlimited digital access for 30 days
Get exclusive access to the latest grocery retail & FMCG news, interviews with industry leading executives, and expert analysis on the trends shaping the sector today
Enjoy unlimited digital access for 30 days
Enjoy unlimited digital access for 30 days
Get exclusive access to the latest grocery retail & FMCG news, interviews with industry leading executives, and expert analysis on the trends shaping the sector today
Enjoy unlimited digital access for 30 days