Sanoma Corporation (OMX: SAA1V) has signed an agreement with Reitan Servicehandel AS for the sale of kiosk operations in Finland, Lithuania and Estonia. Press distribution operations in Estonia and Lithuania are also included in the deal. The enterprise value of the deal including Rautakirja trade mark is 130,7 million Euros.
The divested operations had sales of some 375 million Euros in 2011. Earnings before tax were around 15 million. Sanoma expects to book non-recurring 80 million gain upon completion. The deal is subject to authorities’ approval. The companies have around 2600 employees.
Sanoma’s outlook will be changed as a result. The net sales are expected to decrease slightly. Operating profit should remain around 10% of net sales. EPS excluding non-recurring items is expected to improve. Sanoma is focusing on consumer media and learning.
Reitan Servicehandel belongs to family-owned Reitan Group, which is one of the largest firms in Norway. Reitan Servicehandel owns 7-Eleven Norway. It also owns press stands Narvesen in Norway, Pressbyrån in Sweden and Preses Apvieniba in Latvia.
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