Edition:
India

Dollarama To Acquire 50.1% Interest In Latin American Value Retailer Dollarcity


Tuesday, 2 Jul 2019 

July 2 (Reuters) - Dollarama Inc ::DOLLARAMA TO ACQUIRE 50.1% INTEREST IN LATIN AMERICAN VALUE RETAILER DOLLARCITY, ESTABLISHING SECOND GROWTH PLATFORM.DOLLARAMA INC - ESTIMATED PURCHASE PRICE IN RANGE OF US$85M TO US$95M, INCLUDING AN UPFRONT PAYMENT OF US$40M AT CLOSING.DOLLARAMA INC - CLOSING EXPECTED TO OCCUR IN AUGUST 2019.DOLLARAMA INC - TRANSACTION EXPECTED TO BE IMMEDIATELY ACCRETIVE TO DOLLARAMA'S EARNINGS: +CA$0.02-0.03 PER SHARE FOR REMAINDER OF FISCAL 2020.DOLLARAMA INC - DOLLARAMA WILL ACCOUNT FOR ITS INVESTMENT IN DOLLARCITY BASED ON EQUITY METHOD..DOLLARAMA INC - DOLLARCITY STOCKHOLDERS WILL BE COMPRISED OF DOLLARAMA, WITH 50.1% OWNERSHIP, AND DOLLARCITY FOUNDING GROUP, WITH 49.9% OWNERSHIP..DOLLARAMA INC - DOLLARCITY BOARD OF DIRECTORS WILL BE COMPOSED OF FIVE DIRECTORS.DOLLARAMA INC - DOLLARCITY BOARD OF DIRECTORS WILL BE COMPOSED OF FIVE DIRECTORS, THREE DOLLARAMA REPRESENTATIVES AND TWO REPRESENTATIVES OF DOLLARCITY FOUNDING GROUP..DOLLARAMA INC - TRANSACTION EXPECTED TO BE IMMEDIATELY ACCRETIVE TO DOLLARAMA'S EARNINGS: +CA$0.05-0.07 PER SHARE IN FISCAL 2021.