UK retailer Currys exits Cyprus and Greece with €200 million Kotsovolos sale

British electricals retailer Currys will exit Cyprus and Greece after agreeing to sell its Kotsovolos unit to Public Power Corporation for an enterprise value of £175 million ($214 million, €200.74 million), Reuters has reported.

According to the press agency's report, Currys, whose shares have fallen 29% over the last year, said it will use the proceeds, expected to be about £156 million (€178.95 million) after various costs, to cut debt and reduce the pension fund's accounting net deficit.

The group said the disposal will simplify its structure enabling it to focus on its larger markets of the UK and Ireland and Nordics.

It will also strengthen its balance sheet, increase flexibility to invest and grow the business, and improve shareholder returns.

In September, Currys stuck to annual guidance as it reported falling sales in most markets for the four months to the end of August, but said UK trends were improving despite ongoing challenges in the Nordics.

"As a group, we're focused on maintaining our encouraging momentum in the UK and Ireland and getting the Nordics back on track," CEO Alex Baldock said at the time, according to the same Reuters report.

In October, Currys said it has received several non-binding offers for its recently acquired Kotsovolos network in Greece and Cyprus.

Also read: “Several potential buyers” for Kotsovolos Greece and Cyprus

In June, John Vasilakos, CEO & Vice Chairman of Kotsovolos – Dixons South East Europe told CBN that parent company UK-based Currys announcemnt that it wasreviewing its Kotsovolos business would not affect the strategy and activity of Kotsovolos in Greece and Cyprus "for the time being."

Also read: Kotsovolos CEO: Plans to invest €19m in Greece and Cyprus still going ahead

It remains unknown how the most recent developments will impact the market in Cyprus and Greece.