EV Retail, a subsidiary of British general merchandise value retailer B&M European Value Retail, has acquired the entire issued share capital in discount general merchandise retailer Paminvest SAS for $105.14m.
Paminvest currently operates 95 stores under Babou Stores Group banner in the country.
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The total value of the transaction was paid in cash, which was financed by an additional loan facility and includes the debt of the Babou Stores Group refinanced by B&M.
The deal will enable B&M to develop and grow its presence, as well as its value retail model in France.
The British retailer will apply B&M’s direct product sourcing and limited assortment SKU model to Babou’s store in a more to refine the latter’s product offering.
B&M CEO Simon Arora said: “B&M has made no secret of its European growth plans since its IPO in 2014. We are delighted that discussions with Babou over a three year period have led to today’s transaction, which provides us with a platform for future growth in a large and attractive market whilst also providing a stable and logical new owner for Babou.
“We would like to welcome all Babou’s employees and stakeholders to the wider B&M family and look forward to a successful future together.”
In addition, Babou Stores Group CEO Thierry Morter will retire from his role effective immediately and will be succeeded by Cedric Mahieu.
Babou offers a range of products including 30,000 general merchandise, seasonal and textiles SKUs across its discount retail stores.
