Monday, 13 July 2020 18:24

Photo Credit: Werner Hills.

The Foschini Group (TFG) has submitted a conditional offer to acquire Edcon's business rescue practitioners to acquire some of the stores and assets of JET.

TFG offered Edcon R480 million to acquire a minimum of 371 commercially viable JET stores. 

Edcon, which owns Edgars and Jet Stores,announced late April that it would file for voluntary business rescue after the nationwide lockdown exacerbated its already dire financial position.

In June, its BRPs said the only way to save the company and the jobs of its thousands of its employees was through an "accelerated sale" of its divisions to interested parties.

TFG, which has been growing its local manufacturing capacity, said the proposed deal also comes with JET's distribution centre located in Durban and certain stores in Botswana, Lesotho, Namibia and Eswatini. The company is looking to also acquire JET Club and all existing JET stock of no less than R800 million.

TFG said JET's brand recognition and market share and would provide it with a strategically important expansion into the "value segment" of the Southern African retail apparel market.

The retail giant announced on SENS on Monday that it had sent a proposal to Edcon on July 10, and the business rescue practitioners have accepted its offer.