Getgoods Said to Talk to Rival as Metro Discussions Fail
Getgoods.de AG (GGO) is in talks to be bought by a competitor after negotiations for the online retailer to be acquired by Metro AG (MEO)’s Media-Saturn consumer- electronics chain failed, two people familiar with the discussions said.
Getgoods.de, a Frankfurt-based seller of goods including mobile phones, computers, televisions and toys, is valued at 60 million euros ($77 million) to 100 million euros, according to the people, who declined to be identified because the talks are private. The company is in advanced talks with another investor in the industry, the people said. Negotiations with Media-Saturn halted because the companies couldn’t agree on Getgoods.de’s valuation, the people said.
A spokesman at Dusseldorf, Germany-based Metro declined to comment. Getgoods.de Chief Executive Officer Markus Rockstaedt- Mies declined to comment when contacted by phone.
Getgoods.de is selling a 7.75 percent five-year bond with quarterly coupon payments to raise as much as 30 million euros to finance growth. The company, which first sold stock in 2011 and changed its name from Duebag a year ago, wants to expand its product line, strengthen its brands and increase margins, Rockstaedt-Mies said in a statement on Sept. 18. Getgoods.de has about 200 employees.
Getgoods.de shares rose 5.8 percent to 2.90 euros in Frankfurt, the largest gain since July 6.
Metro Chief Executive Officer Olaf Koch, who took his post in January, is seeking to increase revenue at Media-Saturn by boosting online sales. Metro acquired Web retailer Redcoon GmbH last year.
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