DEPARTMENT STORES – AUSTRALIA

Dick Smith strikes gold with DJs outlets

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Original article by Eli Greenblat
The Australian – Page: 21 : 13-Oct-14

Nick Abboud, CEO of electronic goods retailing chain Dick Smith, says its alliance with department stores group David Jones is progressing well. One year after the "David Jones Electronics Powered by Dick Smith" concept was rolled out in October 2013, the concessions inside the David Jones stores generate more than half of upmarket product sales for Dick Smith. This is despite this business accounting for only 3% of the parent’s total turnover, which shows that the David Jones link has given it access to more affluent consumers. David Jones has since been acquired for $A2.2bn by South African group Woolworths

CORPORATES
DICK SMITH HOLDINGS LIMITED – ASX DSH, DAVID JONES LIMITED, WOOLWORTHS HOLDINGS LIMITED, COUNTRY ROAD LIMITED, BOSE PTY LTD

Lew’s big win: DJs deal to go ahead

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Original article by Sue Mitchell
The Australian Financial Review – Page: 13 &20 : 18-Jul-14

Federal Court of Australia judge Kathleen Farrell on 17 July 2014 approved the takeover by South Africa’s Woolworths of department stores chain David Jones (DJs). Solomon Lew, a DJs stockholder with 9.9%, has struck a side deal with Woolworths, to accept the DJs bid if the suitor also buys his 11.8% in retailer Country Road to move to full ownership. Lew will gain $A212m. John Halley SC, on behalf of the Australian Securities & Investments Commission, told Farrell it was opposed to the collateral benefit aspect of the agreement, but would not block the takeover

CORPORATES
DAVID JONES LIMITED – ASX DJS, COUNTRY ROAD LIMITED – ASX CTY, WOOLWORTHS HOLDINGS LIMITED, FEDERAL COURT OF AUSTRALIA, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, AUSTRALIA. TAKEOVERS PANEL

South Africans wrap up DJs

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Original article by Blair Speedy
The Australian – Page: 21-22 : 15-Jul-14

Gordon Cairns, chair of Australian-listed department stores chain David Jones (DJs), has announced that the takeover bid worth $A4 a share by South Africa’s Woolworths has been accepted. Support among investors was strong, with 50% of stockholders required to vote "yes" and the actual result being 89.6%. In terms of voted scrip, the 75% needed compares with an outcome of 96.8%. Entrepreneur Solomon Lew will sell his 9.9% holding into the scheme of arrangement and has abstained from the vote, meaning the deal can be ratified by the Federal Court on 17 July 2014. Lew will now also gain $A209m from the suitor for his interest of 11.8% in Country Road

CORPORATES
DAVID JONES LIMITED – ASX DJS, COUNTRY ROAD LIMITED – ASX CTY, WOOLWORTHS HOLDINGS LIMITED, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, FEDERAL COURT OF AUSTRALIA, WITCHERY FASHIONS PTY LTD, MIMCO DESIGNS PTY LTD, ASX LIMITED – ASX ASX

David Jones’ investors to vote

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Original article by Blair Speedy
The Australian – Page: 19 : 14-Jul-14

Stockholders in Australian-listed department stores chain David Jones (DJs) will vote on 14 July 2014 on the takeover bid worth $A4 a share by South African retailer Woolworths. It needs 50% of investors to approve it and 75% of stocks to be voted in favour, and may need to rely on entrepreneur Solomon Lew. He has built a stake of at least 9.9% in DJs, and has extracted a promise from Woolworths to also buy his 11.8% holding in Country Road. Woolworths has 88% of that entity. Lew has made no comment on which way he will vote, while the Australian Securities & Investments Commission may challenge the Country Road side deal in the Federal Court

CORPORATES
DAVID JONES LIMITED – ASX DJS, COUNTRY ROAD LIMITED – ASX CTY, WOOLWORTHS HOLDINGS LIMITED, PREMIER INVESTMENTS LIMITED – ASX PMV, JUST JEANS PTY LTD, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, FEDERAL COURT OF AUSTRALIA, AUSTRALIAN SHAREHOLDERS’ ASSOCIATION, OWNERSHIP MATTERS PTY LTD

After conman, Myer hires well-known exec

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Original article by Blair Speedy
The Australian – Page: 21 : 11-Jul-14

Department stores chain Myer has appointed a new executive. Gary Williams has wide experience and is currently with the Westfield property group. He will take up the position in August 2014. Myer CEO Bernie Brookes said that Williams was not directly replacing Andrew Flanagan, who was sacked on his first day after the discovery that his resume was fraudulent. Brookes said that Williams will be involved with strategic development, while Flanagan’s role was to be financial management

CORPORATES
MYER HOLDINGS LIMITED – ASX MYR, WESTFIELD CORPORATION – ASX WFD, WOOLWORTHS LIMITED – ASX WOW, COCA-COLA AMATIL LIMITED – ASX CCL, PUMA AUSTRALIA, REEBOK AUSTRALIA, INDITEX SA, ZARA, TESCO PLC, VICTORIA POLICE

Wesfarmers slashes $680m off Target

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Original article by Blair Speedy
The Australian – Page: 19 : 3-Jul-14

Wesfarmers has reduced the value of its Target discount department stores chain by $A680 million. However, Wesfarmers CEO Richard Goyder is confident that the business can be improved. Its earnings fell by 53 per cent to $A70 million in the first half of 2013-14. A turnaround, led by Stuart Machin, will reduce the product range, refresh stores and sell excess stock

CORPORATES
WESFARMERS LIMITED – ASX WES, TARGET AUSTRALIA PTY LTD, COLES GROUP LIMITED, PACIFIC BRANDS LIMITED – ASX PBG, METCASH LIMITED – ASX MTS, FLIGHT CENTRE TRAVEL GROUP LIMITED – ASX FLT, THE REJECT SHOP LIMITED – ASX TRS, KMART AUSTRALIA LIMITED

Woolworths takes hard line with Lew over DJs bid

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Original article by Sue Mitchell
The Australian Financial Review – Page: 15/20 : 1-Jul-14

Woolworths has declared that its offers for David Jones and Country Road are "best and final". The South African company announced on 30 June 2014 that its bids of $A4 a share for David Jones and $A17 a share for Country Road will not be increased. It is not known yet how prominent investor Solomon Lew will respond to the announcement. Lew has stakes of 11.8 per cent in Country Road and 9.9 per cent in David Jones

CORPORATES
DAVID JONES LIMITED – ASX DJS, COUNTRY ROAD LIMITED – ASX CTY, WOOLWORTHS HOLDINGS LIMITED, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, AUSTRALIA. TAKEOVERS PANEL, DEUTSCHE BANK AG, GILBERT AND TOBIN LAWYERS, NM ROTHSCHILD AND SONS (AUSTRALIA) LIMITED

Myer sacks exec over false employment claims

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Original article by Michael Bennet
The Australian – Page: 21 : 25-Jun-14

Australian department stores chain Myer in mid-June 2014 appointed Andrew Flanagan its new strategy and business development GM. It pointed out at the time that he had a wide-ranging background in the retailing sector, including a role at the Inditex Group of Spain that owns clothing stores business Zara. However the latter then said it had never employed Flanagan, and Myer on 24 June announced Flanagan’s dismissal. Court action is also possible over the deception

CORPORATES
MYER HOLDINGS LIMITED – ASX MYR, ZARA, INDITEX SA, TESCO PLC, WAL-MART STORES INCORPORATED, QUEST PERSONNEL, DEUTSCHE BANK AG, PREMIER INVESTMENTS LIMITED – ASX PMV, SPECIALTY FASHION GROUP LIMITED – ASX SFH

Vote on hold as Lew lifts DJs stake

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Original article by Blair Speedy
The Australian – Page: 21 : 20-Jun-14

Australian-listed department stores chain David Jones (DJs) has informed the market that it has asked the Federal Court to delay the stockholder vote on the friendly takeover bid by Woolworths. The deal worth $A2.15bn with the South African suitor has been placed into jeopardy by revelations that retailing sector identity Solomon Lew now holds 9.89% of the target. There are fears his goal is to build a blocking stake, to force Woolworths into buying him out of Country Road. He owns 11.8% of that business and Woolworths close to 88%. The DJs investor ballot will now be held on 14 July 2014 rather than 30 June

CORPORATES
DAVID JONES LIMITED – ASX DJS, COUNTRY ROAD LIMITED – ASX CTY, WOOLWORTHS HOLDINGS LIMITED, FEDERAL COURT OF AUSTRALIA, ASX LIMITED – ASX ASX, OWNERSHIP MATTERS PTY LTD, KING AND WOOD MALLESONS

Lew ups stake in DJs to 9.9pc

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Original article by Sue Mitchell
The Australian Financial Review – Page: 19/24 : 6/19/2014

The takeover worth $A2.2bn of Australian department stores chain David Jones (DJs) by South Africa’s Woolworths will need to be approved by DJs shareholders in a vote on 30 June 2014. However, a complication may have arisen under collateral benefits law, as retailing sector stalwart Solomon Lew has disclosed he now holds 9.9% of the target. While his motives are not clear, there is speculation he wants to push Woolworths into buying his 11.8% blocking stake in Country Road. Such a side deal would attract scrutiny by the Australian Securities & Investments Commission and the Takeovers Panel

CORPORATES
DAVID JONES LIMITED – ASX DJS, COUNTRY ROAD LIMITED – ASX CTY, WOOLWORTHS HOLDINGS LIMITED, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, AUSTRALIA. TAKEOVERS PANEL, AUSTRALIAN RETAIL INVESTMENTS PTY LTD, CORRS CHAMBERS WESTGARTH, GOLDMAN SACHS AUSTRALIA PTY LTD, BLACKROCK INCORPORATED, DEUTSCHE BANK AG, ALLAN GRAY AUSTRALIA PTY LTD, AUSBIL DEXIA LIMITED, PERPETUAL INVESTMENTS, PERPETUAL LIMITED – ASX PPT, PENGANA CAPITAL LIMITED, BT INVESTMENT MANAGEMENT LIMITED – ASX BTT