France's anti-trust agency Thursday authorized retailer Carrefour SA (>> CARREFOUR) to buy smaller domestic peer Guyenne et Gascogne SA (>> GUYENNE GASCOGNE), as the acquisition isn't likely to hamper competition in the south-west of the country where Guyenne et Gascogne operates.
The authority authorized the merger with no conditions, and said in a statement there are several competing supermarkets chains in the area where Guyenne et Gascogne runs 37 supermarkets.
Carrefour announced the takeover bid for its franchisee and long-term partner Guyenne et Gascogne in December, seeking to defend its market position in southwestern France. Carrefour offered to pay EUR74.25 per Guyenne et Gascogne share, or 3.9 Carrefour shares for every Guyenne share tendered. Carrefour may pay as much as ER370 million if the cash offer is fully accepted.
-By Inti Landauro, Dow Jones Newswires; +33 1 4017 1740; [email protected]