Sainsbury's offers £1.3 billion for Argos owner
The boards of Sainsbury's and Home Retail Group have reached agreement on the financial terms of a potential offer for Home Retail Group by Sainsbury's. The deal would value the owner of Argos at around £1.3 billion.
Home Retail Group shareholders will receive 0.321 new Sainsbury’s shares and 55 pence in cash per Home Retail Group share.
In addition, Home Retail Group shareholders will receive approximately 25 pence and 2.8 pence in lieu of a final dividend. This reflects the £200 million return in respect of the sale of Homebase to Wesfarmers, which was announced by Home Retail Group on 18 January.
Home Retail Group shareholders will own approximately 12% of the combined group if the deal goes ahead.