euro adhoc: Valora Holding AG
other
Valora Retail to extend its leadership
in German railway station book retail
Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement.
19.11.2008
- 19 station outlets acquired from Konrad Wittwer GmbH, Germany - Valora now present at prime sites in all Federal German states - Valora Group reconfirms objectives - recession not affecting Group´s retail activities
19 station outlets acquired from Konrad Wittwer GmbH, Germany Valora Retail has acquired a total of 19 retail units from the Stuttgart-based Konrad Wittwer GmbH. These units generated sales of more than CHF 30 million in 2007. This will boost Valora Retail Germany´s current sales by some 13%. This acquisition represents a further step in Valora´s growth strategy and will further strengthen its core businesses. The transaction will become effective as of December 31, 2008 subject to necessary approvals from the Bundeskartellamt, Germany´s Federal competition authority.
Valora now present at prime sites in all Federal German states With the new and thriving units acquired from Konrad Wittwer GmbH, Valora will now have a presence at prime locations in Baden-Württemberg and Saxony such as Stuttgart, Ulm and Dresden. Valora Retail will thus be represented at major stations throughout Germany´s 16 Federal states, a milestone for Valora Retail. The new shops will in future also operate under the k presse + buch banner, Germany´s leading station bookstore brand.
With its current network of 158 sales outlets at railway stations and bookstores Valora Retail enjoys a strong position in the German railway station bookstore market. In addition to these, the firm has also opened a further 13 units in shopping centres, department stores and retail parks. The firm´s acquisition of Konrad Wittwer GmbH´s railway station bookstores, will increase its total number of locations in Germany to 190.
Valora Group reconfirms objectives - recession not affecting Group´s retail activities Valora successfully initiated its strategy programme in the 3rd quarter of this year and implementation is now in full swing. Budget objectives were exceeded. The Group´s sound financial position has enabled it to finance the new acquisition from disposable cash reserves. Valora reconfirms its stated objective of achieving a lasting improvement in the Group´s income generation from 2009 onwards. By 2012 the Group intends to attain an EBIT margin of 3 - 4%, on annual sales growth of 3 - 5%.
Thomas Vollmoeller, CEO, adds: "This acquisition strengthens our position in Germany, thus enabling our Group to become more competitive and profitable. We are well on the way to meeting the objectives we have set ourselves and look to the future with confidence, despite the worldwide recession now unfolding. Our retail activities are centred on the items consumers use on a daily basis, and are thus clearly outside the luxury goods sector. Our three divisions are sound, broadly based and continue to deliver the earnings we expect. Given our business model and our experience, we believe that our businesses are well placed to weather difficult economic times. We are convinced that we will be able to achieve our objectives".
*** About Konrad Wittwer GmbH Wittwer, the Stuttgart-based bookstore firm, was established in 1867 and is now run by members of the founding family´s fifth generation. In addition to its bookstores in town-centre locations, the firm has been operating railway station bookstores since 1878. Beyond its home in Baden-Württemberg, Wittwer is well-known in Dresden and Chemnitz, and has earned an enviable reputation as a bookseller, making it an ideal partner for Valora. ***
*** Valora Telephone Conference Wednesday, November 19, 2008 11:00 CET
Thomas Vollmoeller, CEO of Valora Holding AG, and Kaspar Niklaus, CEO Valora Retail, will provide information about the transaction during a telephone conference. The Dial-In Conference Call will be held in English.
To participate in the conference: call the following number (please call 15 minutes prior to the conference beginning):
Europe +41 (0) 91 610 56 00 UK +44 (0) 207 107 06 11 USA +1 (1) 866 291 41 66
A playback of the conference will be available one hour after the conference call for 24 hours. Participants requesting the Digital Playback will be dialing:
Europa +41 (0) 91 612 43 30 UK +44 (0)207 108 62 33 USA +1 (1) 866 416 25 58
and will be asked to enter the Conference Reference 12601 followed by the # sign. ***
end of announcement euro adhoc
Further inquiry note:
Investor Relations:
Mladen Tomic
Tel.: +41 58 789 12 20
E-Mail: mladen.tomic@valora.com
oder
Media Relations:
Stefania Misteli
Tel.: +41 58 789 12 01
E-Mail: stefania.misteli@valora.com
Branche: Retail
ISIN: CH0002088976
WKN: 208897
Börsen: SWX Swiss Exchange / official market
BX Berne eXchange / official dealing