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AMSTERDAM -- Supermarket retailer and foodservice operator Royal Ahold NV said Friday it has closed the sale of its 99.6 percent interest in Santa Isabel S.A. to Chilean retailer Cencosud S.A.
Ahold and Cencosud completed the transaction based on a total value, excluding any liabilities, of approximately USD$150 million for Ahold's operations in Chile, which is equal to the amount announced at the time of the initial discussions with Cencosud.
After adjustment of the value for net working capital and external interest-bearing debt, the net proceeds of the transaction for Ahold amount to approximately USD$77 million. Cencosud will assume the external interest-bearing debt of USD$17.5 million.
The transaction is limited to Ahold's supermarket activities in Chile. Its activities in Peru and Paraguay, previously subsidiaries of Santa Isabel, remain with Ahold and will also be divested, as was announced April 3.
Cencosud has interests in real estate, do-it-yourself (DIY) stores, and hypermarkets in Chile and Argentina.