CARREFOUR spin-off 100% of DIA – New way to play emerging markets

French CARREFOUR plans to spin off 100 percent of its DIA discount chain as well as 25 percent of its real- estate unit. After the separation, DIA shares will be listed on the Madrid stock exchange from July 5, which will enable CERREFOUR to focus on developing its brand. The spinoff of the property business will be listed on the Paris stock exchange. The company’s proposal is that all CARREFOUR shareholders receive a number of DIA shares equal to the number of CARREFOUR shares held. The final decision is going to be made on the ordinary and extraordinary general shareholders' meeting on June 21. DIA shares will be listed on Madrid Mercado Continuo being strong candidate for entrance into IBEX-35 as its free float (85%) could reach 4B of Euros.

CARREFOUR operates hypermarkets, supermarkets, and hard discount and convenience stores in 34 countries, primarily in Europe, Latin America, and Asia. DIA is the world’s third-largest hard discount group. It is headquartered in Madrid being managed independently with stores and supermarkets in France, Spain, Portugal, Greece, Turkey, China, Brazil and Argentina. Obviously, DIA is very focused on the emerging markets which can offer big and constant growth.

TICKERS: Paris: CA.PA; CAR.SG; CAR.F; CRR.MI

LINKS:

CARREFOUR: www.carrefour.com

DIA: www.dia.es; http://www.magasins-ed.com/la-marque-dia/

SPIN OFF 100% DIA PROJECT:

http://www.carrefour.com/cdc/finance/spin-off-of-100_-of-dia-project/