Czech finance group PPF buys out all of Russian retailer Eldorado for an undisclosed price tag Russian paper Kommersant says totals $625M.
PPF says Russian competition authorities already approve of the buyout.
According to the Financial Times, Eldorado's sale took months of efforts-- Eldorado co-owner and founder Igor Yakovlev's pulled out of selling for at least 3 times beforehand.
PPF (owner of Eldorado's main consumer credit partners) bought 50% of the Russian retailer back in October 2008, via financing worth $400-800M requiring Eldorado stock as security-- a surprisingly low sum considering how once Eldorado's 1500+ chain was once estimated at nearly $5Bn.
2009 saw PPF (and Italian insurance firm Generali) converting $300M of Eldorado debt into a controlling stake in the retailer.
PPF is not the first company taking an interest in Eldorado's business-- in 2005 Dixons expressed interest in buying Eldorado for £1Bn. The plan was abandoned 2 years later due to "political, corporate and economic risks."
What now for Eldorado? Analysts predict the sale could prove to be a positive for its market presence, so long it doesn't change its pricing policies to much...