The Foschini Group (TFG), owners of Markham said today it had submitted a conditional offer to acquire certain commercially viable stores and selected assets of JET, a division of embattled retailer, Edcon for R480 million.
TFG in a statement said it had been granted exclusivity to negotiate and finalise the terms and conclude the mooted deal.
“The Proposed Transaction enables TFG to acquire selected parts of the JET business, a unique opportunity which previously was not possible and is expected to give TFG significant scale at an attractive price,” TFG said.
"The Proposed Transaction will also include the transfer of selected key executives and staff of JET to ensure sufficient management capacity and continuity to deliver on the current turnaround plan for JET and discussions are well advanced in terms of a proposed transition plan.”
The directors of Edcon placed the company in business rescue in April, following years of underperformance and a debilitating debt-pile. Jet is the second asset of Edcon to attract interest from investors in recent weeks.
Edcon last week said they had reached an agreement with Retailability to sell parts of Edgars to it.
Retailability is the holding company retail brands such as Legit, Beaver Canoe and Style – the group operates more than 460 stores across South Africa, Namibia, Botswana, Lesotho, and eSwatini.