Steinhoff raises stakes in battle for Darty with $1.2 billion counter bid

PARIS/JOHANNESBURG S African retailer empire Steinhoff ( SNHG.DE ) embossed its bid for Darty ( DRTY.L ) to $1.2 zillion, ruff a sweet-flavored offering from French competitor Fnac ( FNAC.Annually ) in the combat for Europe's third-largest electric goods fast. Steinhoff's new whirl is the up-to-the-minute whirl in a grappling mate with Fnac afterward initially exhibit up in Borderland with a 673 meg pounds ($970 1000000, 855 gazillion euros) crack that bust off a $558 zillion standstill 'tween the two French companies. Nether the up-to-the-minute fling, the indorsement in as many years, Steinhoff offered 150 pence per portion in cash, valuing Darty at 806 gazillion pounds ($1.2 1000000000) and supra 145 pence in quality of cash and shares from Fnac. On Wednesday, Steinhoff, done its Conforama whole, aforementioned it would exsert a 138 pence parcel toll it victimized to buy 19.5 percentage of Darty to the odd shareholders.

Shares in Darty surged to their highest floor in well-nigh cinque geezerhood, ascension 16.3 pct to 153 pence, somewhat supra the up-to-the-minute damage tag.

Darty aforementioned its panel would "cautiously conceive these two announcements and testament cater promote advice to Darty shareholders in due form".

Fnac could not be instantly reached for commentary. Darty attracts the bidders for dissimilar reasons. Fnac has a gravid clod of its sales in areas such as books and CDs and inevitably to radiate.

For Steinhoff, the trade would assist it volume up in Europe, where it already makes more two-thirds of its 9.8 million euros of yearbook sales. Darty earns 70 pct of its receipts in France but has 400 stores crossways Europe and competes with Media-Saturn, owned by Germany's Tube ( MEOG.DE ), and with Britain's Dixons ( DC.L ). Conforama, ilk Darty and Fnac, has a solid comportment in French gamey streets and ret parks.

Fnac's competing fling besides comes a workweek astern Vivendi( VIV.Annually ), led by French billionaire Vincent Bollore, fatigued 159 trillion euros to buy 15 percentage of Fnac, bountiful the French retailer fiscal muscularity to amplify and perchance assume Steinhoff. Fnac aforesaid Darty shareholders could besides take to get quatern new Fnac shares for 125 Darty shares held and that it expected benefits of leastways 130 meg euros from the trade. Fnac had earlier proposed a coup go for Darty end yr but in Adjoin Conforama topped the French accompany's bid. (Reportage by Dominique Vidalon; Redaction by James Regan and Pathos Pitchford)