German-based clothing retailer Niedrig Kalkuliert Discount (NKD) Group has expressed joy at becoming part of South African retail giant Mr Price.
Alexander Schmökel, NKD Group CEO, highlighted that the two companies complement each other and would be able to create a strong momentum for the upcoming years.
“We are excited to become part of Mr Price Group Limited. With a clear vision and strong commitment, we can sustainably expand our market position in Europe. Together with our new owner, with a background in the retail sector, who understands our industry, we will rigorously execute our growth plans.
Expertise helps drive successful trajectory
“The expertise on both sides will help us continue our successful trajectory. We would like to thank TDR Capital for the excellent partnership. It… has been instrumental in advancing our development as a data-driven value textile discounter,” said Schmökel.
His statement comes as value clothing, homeware and sporting retailer Mr Price Group reported progress in the R10-billion purchase of NKD Group from TDR Capital, a London-based private equity firm.
TDR Capital had purchased NKD Group in 2019. And it announced an agreement to sell the group to Mr Price Group in December.
NKD Group is a leading retailer across central Europe focused on teenage and sports fashion. While also selling household hardware and home textiles.
It has over 2, 000 stores across Germany, Italy, Croatia, Czthe Czechepublic and other countries. And at least 10, 000 employees.
Compliance with conditions
In an update released this week, Mr Price Group confirmed that work is continuing to meet the conditions set out in the binding transaction agreement signed on December 9.
The outstanding condition is approval under the European Commission’s Foreign Subsidies Regulation.
Mr Price Group CEO, Mark Blair, said: “NKD is a great fit for our growth strategy. With a strong store network, a clear value-for-money positioning, and excellent digital capabilities, NKD is ideally positioned to further expand its omni-channel business. We look forward to working with its talented team and guiding the NKD Group into its next phase of growth together.”
