The electronics store chain "M.Video-Eldorado" is negotiating its sale. The main contender for the purchase is Promsvyazbank (PSB), which is developing its own "SvyazON" chain on the basis of the former retailer "Svyaznoy".
The estimated value of the transaction is 300 billion rubles, although it may be higher due to brands and trademarks. PSB conducted an audit of the company, but there is no final decision yet. The chain is experiencing financial difficulties: losses began in 2022, and for 2023 they amounted to 7.5 billion rubles with revenue of 433 billion rubles.
Experts believe that PSB may close up to 200 stores for optimization, due to high competition with marketplaces, debt burden and slowing revenue growth.
The chain also has debts to distributors, electronics manufacturers and creditor banks, including PSB. A possible buyer is likely to reorient the chain to sell domestic electronics to increase the utilization of Russian production facilities.
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