Lenta says Magnit offers to buy company for $1.8 bln

MOSCOW, Apr 5 (PRIME) -- Russian retailer Magnit has put forward an indicative non-binding proposal to buy retailer Lenta for U.S. $1.8 billion on Monday shortly after Alexei Mordashov’s Severgroup signed a binding agreement to buy the retailer from TPG and the European Bank for Reconstruction and Development (EBRD), Lenta said on Friday.

“On April 1, after Severgroup signed separate agreements with TPG and EBRD and shortly before the announcement of the offer, Lenta received a conditional non-binding offer from Magnit to buy 100% of Lenta’s business for $1,779,525,836, which is equivalent for $3.65 per a global depositary receipt (GDR) of Lenta,” the statement said.

Lenta’s independent directors applied to Magnit to confirm whether Magnit plans to implement the deal with Lenta in light of an offer from Severgroup. In case of a positive decision, Lenta’s directors asked to provide information about the time and terms of the deal. Magnit has not so far provided such details, Lenta said.

Severgroup said on Tuesday that it agreed to buy 34.44% in Lenta from TPG Group and 7.4% from EBRD at a price of $3.6 per GDR.

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