D&S Denies Wal-Mart Talks

Chilean retail chain Distribucion y Servicios (D&S) has rejected reports that suggest it is holding merger talks with Wal-Mart. In a statement to the SVS, Chile’s regulator, D&S’s CEO Enrique Ostale Cambiaso says his company had not been in discussions with Wal-Mart, as local paper El Mercurio reported earlier in the day. An Itau report noted last month that the termination of talks between Falabella and D&S – thanks to an antitrust ruling – would pave the way for a resumption of other merger considerations in Chile’s highly competitive retail sector. “D&S may now look at La Polar and/or Ripley to increase exposure in non-food and credit,” said Itau in early February. “Conversely the possibility is now open for Wal-Mart, Casino or Carrefour to make a stab at D&S,” it adds.