Skip to content
Investment

Clothing retailer Deacons East Africa to sell its Mr Price franchise

BY David Indeje · October 9, 2017 11:10 am

East Africa’s leading apparel and household goods retailers, Deacons (East Africa) Plc (NSE: DCON) board has approved the sale of Mr Price franchise in Kenya.

The retailer said the decision was informed by Mr Price Group proposal to buy the franchise. “Deacons (EA) PLC notifies that it has been approached by Mr Price Group Limited, on of its Franchisors, with a proposal to purchase the Mr Price Franchised Business in Kenya and that Deacons has entered into preliminary negotiations in respect of the sale of Mr Price franchised Business to Mr Price,” read the statement.

Deacons’ Company Secretary Mr John L G Maonga said further information relating to the proposed deal will be circulated to the company’s shareholders prior to a meeting to consider the proposed transaction.

“In the meantime, the shareholders of Deacons and other investors are advised to exercise caution when dealing in the shares of the company,” he said.

The proposed transaction will be subject to various conditions that include requisite approvals from regulatory authorities and shareholders of Deacons.

Mr Price has expanded its operations in Kenya opening 11 stores.

The deal is still subject to regulatory approval with no value yet to be attached to the proposed transaction.

The deal, if approved, will see the firm purchase and operate all the 11 Mr. Price Home and Mr. Price apparel stores in Kenya.

Deacons has franchises for a number of South African brands, including:  Truworths, Woolworths, Identity, Sheet Street, 4u2, BabyShop,  Angelo, Reebok, Addidas, Lifeftness and Bossini.

Deacons has announced plans to open an online portal aimed at also cutting operating costs.

Deacons will take online orders and deliver goods to customers from the first quarter of 2018.

Deacons opened its first store in 1958 when it was the franchise holder for the Marks & Spencer brand.

David Indeje is a writer and editor, with interests on how technology is changing journalism, government, Health, and Gender Development stories are his passion. Follow on Twitter @David_Indeje David can be reached on: (020) 528 0222 / Email: info@sokodirectory.com

Trending Stories
Government and Policy TSC Set To Promote 28,288 Teachers This Year Getrude Mathayo
Entrepreneur's Corner When the Days Grow Quiet: Why Men Must Plan For Their Old Age Steve Biko Wafula
Entrepreneur's Corner New Year, New Financial Goals With NCBA: Why Financial Literacy Is The Real Resolution Soko Directory Team
Government and Policy Education CS Releases KCSE 2024 Exams, How To Check Getrude Mathayo
Market News Kenyan Shilling Holding Forte This Njaanuary Dyer and Blair
Related Articles
Investment Your Investment Plan For 2025: Mansa X (19.53%) vs. Oak Fund (29.38%) – 2024 Performance, Which Should You Invest In? Steve Biko Wafula
Investment Economic Growth: 3Q24 GDP Growth Slows To 4.0% From 6.0% In 3Q23 Soko Directory Team
Investment Big Wheels A Game Changer For Kitengela Hardware Soko Directory Team
Investment How Family Bank Helps Entrepreneurs Through Inua Biashara Soko Directory Team
Investment Kenyans Felt The Pressure Of Higher Commodity Prices In December Soko Directory Team
Explore Soko Directory
Banking Blogging Commodity Watch Did you know Entertainment Entrepreneur's Corner Feature Government and Policy Headlines Investment Lifestyle Market News Money Opinion Press Releases Stock Watch Technology
Soko Directory Archives