Stock Market News
Brazil’s GPA again rejects Colombian tycoon’s bid to buy 51% of Exito
2023.07.20 18:07
© Reuters. The facade of an Exito supermarket, is seen in Medellin, Colombia May 30, 2019. Picture taken May 30, 2019. REUTERS/Luisa Gonzalez
SAO PAULO (Reuters) – Brazilian retailer GPA said on Thursday its board rejected a second offer from Colombian billionaire Jaime Gilinski to acquire a 51% stake in its subsidiary Almacenes Exito.
In a securities filing, GPA said the offer does not serve the best interests of the firm and its shareholders, as the price offered falls short of “financial reasonableness for a transaction aiming at a controlling interest.”
The Brazilian retailer also said that the proposal presented by Gilinski does not provide sufficient elements to assure the board of its binding nature or a “reasonable expectation of concluding a transaction.”
Last month, GPA declined Gilinski’s offer to pay $836 million for nearly 97% of Exito.
