Kingfisher completes sale of Castorama Italy for €615m
Published: 2 February 2009
Kingfisher plc has announced it has completed the sale of its Castorama Italy business to Leroy Merlin Italy for total cash proceeds of €615m (£591 million), including an adjustment for profit generated between 1 July 2008 and completion.
The funds have been received. As announced on 1 August, the proceeds will be used to reduce Kingfisher's net debt.
Commenting on the completion of the sale Kingfisher's group ceo Ian Cheshire said: "I am delighted that we have completed this transaction, which enables us to reduce net debt by more than €600 million at a time when a strong balance sheet is so important. The sale is consistent with Kingfisher's aim of delivering value for shareholders.
"I would like to thank all our colleagues at Castorama Italy for their hard work and commitment over the years and wish the business continued success under its new owners."