MIG agrees to acquire 55 pct of Korasidis, 58 pct of Elephant for 22.2 mln eur

MIG agrees to acquire 55 pct of Korasidis, 58 pct of Elephant for 22.2 mln eur

ATHENS (Thomson Financial) - Greek investment holding company Marfin Investment Group (MIG) said it has agreed to acquire 55.79 pct of electrical goods chain Radio Korasidis and 58.78 pct of the consumer goods chain Elephant for 22.2 mln eur from V-Net, a strategic investor in the bankruptcy of the two groups.

Radio Korasidis operates 54 stores across Greece and plans to open 29 new branches by the end of 2009.

The company's revenues are expected to exceed 200 mln eur in 2008, rising to 350 mln eur in 2009.

MIG will consider listing the company on the Athens Stock Exchange at a later date.

The vice chairman of MIG, Andreas Vgenopoulos, said he is excited by the prospect of the consumer electronic retailer re-establishing itself and returning to profitability.

'Apart from the opportunities for development in the Greek market, there is tremendous potential for further expansion of the chain into the region of south-eastern Europe,' Vgenopoulos said.

The chairman and chief executive Radio Korasidis and Elephant, Ioannis Evangelatos, said MIG's participation ensures the both companies successful development going forward.

'We are now ideally positioned to become an important player in the consumer electronics market, both in Greece and in the wider region, not only as a seller of products but also as a provider of services,' Evangelatos said.

forbes.com