The U.K.’s 145-store strong Debenhams department store chain has entered into agreement to buy Denmark’s Magasin du Nord from an estimated $20 million. Upon completion, the deal will add six stores to Debenhams’ portfolio, representing annual turnover of $380 million and a customer base of 20 million.
Rob Templeman, chief executive of Debenhams, predicted the “close fit” between the two department store chains would be “mutually beneficial.” “As part of the Debenham’s group, Magasin will be able to benefit from the Debenhams infrastructure and economies of scale. As we realize the synergies that are available to both companies, we anticipate that this acquisition will be highly accretive for Debenhams’ shareholders,” Templeman said in a corporate statement.
Currently the U.K.’s second largest department store chain, Debenhams has 52 international franchise stores in 17 countries.