Wal-Mart Confident Of Massmart Deal Despite Appeal By Union
June 29 2011 - 7:31AM
Dow Jones News
JOHANNESBURG--Wal-Mart Stores Inc (WMT) is confident its $2.4
billion takeover of South African retailer Massmart Holdings
(MSM.JO) will go ahead, despite an appeal against the deal by one
of the country's unions, the retailer said Wednesday.
"SACCAWU's Notice of Appeal has no impact on the implementation
of the transaction, including steps already taken and those still
to be taken," it said in a joint release with Massmart.
South Africa's Competition Tribunal has cleared Wal-Mart to buy
a 51% stake in the retailer but unions oppose the deal, fearing
Wal-Mart will increase imports, so squeezing out local suppliers
and endangering jobs.
-By Devon Maylie, Dow Jones Newswires; +27 (11) 783 7848;
devon.maylie@dowjones.com