A major global retail giant has been bought by a consortium led by Dutch bank ABN Amro for a record $1.2 billion.
Key points:The deal will see JCB’s retail business be sold to a consortium that includes ABN AMRO, which has been running the retail business for JCB since 2015The deal is expected to close in the second half of 2018Source: News24 article ABN amro is the largest private-equity fund in the Netherlands and is owned by Dutch billionaire Jeroen Dijsselbloem.
The new consortium is expected by ABN to make a range of strategic acquisitions, including the retail chain JCB, which will be sold for a new value of around $20 billion to an unnamed consortium.JCB is one of the world’s biggest retailers, selling more than half a billion items annually in some of the biggest names in the fashion industry.
The deal, expected to be completed by the second quarter of 2018, will see ABNAMRO sell JCB to a group led by ABG-owned ABNAC, which is owned jointly by JCB and its parent company, KPMG.
The combined entity is expected for the new entity to be led by a group of Australian retail executives and investment bankers, who will lead the investment.ABNAMRAG will also have access to a range, including its own retail assets.JRB is one the worlds largest private equity funds, with a $8.5 billion (£4.8 billion) portfolio and about $40 billion of assets under management.
The JRB acquisition will create a new, larger, international retail entity that will be able to compete head-on with retail giants like Walmart, Saks Fifth Avenue and Louis Vuitton.
A JRB spokesperson said the company would not comment on the deal until after the announcement of its assets and liabilities.
The transaction comes after ABN’s acquisition of the New York-based JCB last year, which saw the retail giant increase its retail portfolio to more than 1,000 stores and increase its workforce by nearly 10,000.
In October, ABN said it had bought back more than $1 billion worth of JCB shares.
Last month, ABB said it would be buying up to 2.5 million JCB common shares.