Deals
Sainsbury Bids $2 Billion for Argos, Steinhoff Picks Darty
- U.K. grocer leaves terms of original proposal unchanged
- Synergy target increased by a third to 160 million pounds
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J Sainsbury Plc proceeded with its takeover bid for Home Retail Group Plc after a South African rival that threw in a competing proposal dropped out of the race.
The U.K. grocer offered about 1.4 billion pounds ($2 billion) in cash and stock for the owner of the Argos retail chain after Steinhoff International Holdings NV decided to buy Darty Plc instead. Sainsbury didn’t change the terms of its original proposal, now worth about 171 pence a share, though increased its estimate of the deal’s profit benefits by a third.