London
29 February 2008
Marks and Spencer (MKS.L: Quote, Profile , Research) has bought a half share in a franchise operation in eastern Europe as part of its drive to expand abroad.
M&S said it had bought 50 percent of a venture with Greece's privately-owned Marinopoulos BV which operates 38 M&S stores in Greece, Romania and Bulgaria, as well as Switzerland, for 50 million euros (38.3 million pounds) cash.
It said the venture planned to open 50 new stores in these markets over the next few years.
"We have an exciting opportunity to open many more Marks & Spencer stores in Greece and the Balkans and our joint venture with Marinopoulos will mean we can really put M&S on the map in this part of the world," Carl Leaver, M&S's director of international business, said in a statement.
M&S has said it plans to grow its international business to 15-20 percent of group revenues within the next five years.
International revenues totalled 610.6 million pounds in the year ended March 2007 out of a total of 8.59 billion.
At 8:25 a.m., M&S shares were up 0.4 percent at 403.75 pence, valuing the business at about 6.5 billion pounds.
Source :
www.today.reuters.co.uk
