Mr Price Group has agreed to buy German value retailer NKD Group for up to €487 million, reports Cape {town} Etc.
According to Reuters, the deal will mark the group’s first entry into Europe. It will add about 2108 stores across seven Central and Eastern European countries.
The purchase price, including shareholder loans, is equal to roughly R9.66 billion. Mr Price said it will fund the transaction with existing cash and debt facilities.
Business Day reports the company expects the deal to lift annual revenue to about R53 billion and grow its store base to more than 5 000.
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Mr Price described NKD as ‘a clearly differentiated value positioning’ that serves price conscious families. Chief executive Mark Blair said: ‘After meeting the NKD team, it was evident that this was the right business to pursue.’
Investors reacted sharply. Shares fell after the announcement as some market participants questioned the price and integration risk.
Analysts flagged the group’s mixed history with overseas moves but noted the clear strategic fit with value retail trends in Europe.
The transaction remains subject to regulatory clearance, including from the European Commission and the South African Reserve Bank.
If regulators approve, Mr Price expects to complete the deal by the second quarter of 2026.
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Picture: Mr Price
