Soriana to Buy Rival’s Stores

Mexican retailer Soriana has agreed to acquire the Mexican and US stores of Grupo Gigante for $1.35bn, plus inventories and rent on locales. A sale to one of several large retailers had been rumored since early November, when Gigante announced it had hired IXE, Citi and Deloitte to explore options. The transaction comprises Gigante’s 199 Gigante, Bodega Gigante and Super G stores in Mexico and seven stores in Los Angeles. It excludes Gigante’s restaurants and various joint-ventures with retailers such as Radio Shack and Office Depot. Soriana plans to take over and rebrand the stores within four to five months, and invest $600m renovating them over five years.