Praktiker's largest shareholder wants sale of Eastern Europe operations, Romania included

Austrian investment firm Maseltov, the largest shareholder in German do-it-yourself retailer Praktiker would like to pull out of Eastern Europe, according to the company's spokesperson, quoted by Financial Times Deutschland. The investor could thus sell Praktiker's operations in several countries, including Romania.

Maseltov, with a 10 percent share in Praktiker, wants to convince other shareholders during their next meeting. The second largest shareholder is Austrian investment firm Semper Constantia with 5 percent. A sale in Eastern Europe could bring Praktiker around EUR 50 to 70 million, according to Financial Times Deutschland. With 27 stores in Romania, Praktiker's net sales were down by a quarter in the first nine months of 2011, to some EUR 116 million. Internationally, the retailer's loss in the first nine months of 2011 were at EUR 348 million, compared to a loss of EUR 100,000 the year before. The group wants to obtain EUR 300 million funding and aims to re-become profitable in the next three years. Last year, Praktiker announced its plans to close down 15 percent of the stores in Germany, the withdrawal from Albania and keeping an eye on other international activities, during this three-year plan. editor@romania-insider.com