Casino Group to sell equity in Almacenes Éxito to Grupo Calleja

The Casino Group disclosed that its Board of Directors greenlit a pre-agreement with Grupo Calleja, the dominant grocery retailer in El Salvador. This agreement pertains to the sale of Casino Group’s 34.05% equity in Almacenes Éxito S.A., effectively making an offer to Grupo Calleja to acquire 100% of Éxito Group’s shares, pending a successful acquisition of at least 51% of the said shares.

Terms of the Pre-Agreement and Involvement of Grupo Pão de Açucar

As part of this arrangement, Grupo Pão de Açucar (GPA), a Casino subsidiary holding 13.31% of Éxito Group’s shares, will also sell its equity as part of the tender offer (TO). The proposal on the table stands at US$ 1.175 billion for all outstanding shares, translating to 0.9053 USD per share. This deal earmarks US$ 400 million for Casino Group’s direct equity and US$ 156 million for GPA’s stake, both payable in cash by Grupo Calleja.

Major retail equity sale: Casino Group offers Éxito Group’s shares to El Salvador’s top grocery retailer Grupo Calleja. Photo courtesy of Bild kann nach Commons verschoben werden/Wikimedia Commons.

Price Adjustments and Regulatory Approvals

Potential adjustments to the offer price might arise from extraordinary dividend distributions or similar transactions by Éxito Group before the TO’s official documentation submission to the Financial Superintendency of Colombia (SFC). However, regular dividends won’t affect the price. For this TO to proceed, it requires not just the SFC’s approval but also necessary filings with the U.S. Securities and Exchange Commission, eyeing a closure around year-end.

Spotlight on Grupo Calleja

Steering Super Selectos, the renowned banner under which it operates, Grupo Calleja dominates the food retail scene in El Salvador. Boasting 110 stores and holding approximately 60% of the market share, it stands as one of El Salvador’s eminent companies, employing over 12,000 individuals across its operations.