German retail giant Metro AG has approved a plan to split the company into two parts with the aim of separating the wholesale division into a separate company, the shares of which will be traded on the stock exchange, RIA Novosti reports referring to the company's message.
Metro announced in March that the company was preparing to split the business into two public companies. In one it was planned to separate the business of wholesale trade and food products (Cash & Carry, Real, etc.). The current company will retain a business specializing in consumer electronics and services (Media Markt, Saturn). Metro shareholders will own shares in both firms. At the same time, both companies will have their own management team and supervisory board and will be able to independently implement the necessary strategies for partnerships and purchases.
The separation of companies will take effect on 30 September. “Over the past months, we have intensively analyzed the planned division of the group into two strong and focused trading companies. The events of the past few months have confirmed our belief that the two businesses have almost no overlaps and synergies in operating activities and will be even more successful if they operate separately, ”the release says.
The current Chairman of the Supervisory Board of the company, Juergen Steinemann, will remain in this position at the food wholesaler and distribution company. At the same time, Juergen Fitschen, a member of the company's supervisory board since 2008, will become chairman of the board of directors of the consumer electronics company.
Metro AG, which owns Metro Cash & Carry International GmbH, was founded in 1964 in Germany. The company is headquartered in Dusseldorf. The retailer employs over 220 thousand people worldwide.
See also ... 14/01/2015 Metro sales in Q21 surpassed forecasts01/2014/25 Metro will sell up to 31% of its Russian subsidiary 03/2016/16 Metro Group plans to split into two companies Bay06 / 2015/14 Metro sales declined 01% 2014/3,3/18 Metro sees growth in German market 10/2013/12 Metro Group sales decline due to ruble exchange rate 05/2016/12 Metro expects annual profit growth 02 Metro and Alibaba will merge for online business2014/09/09 Politics hinders trade 2015/12/05 Metro raises costs, aiming at growth / 2014 Russian retailers became more visible 08/05/2015 Metro Group founder died 12/12/2012 Metro AG leaves the Chinese market