WOOLWORTHS CLAIMS LEGAL VICTORY IN STOUSH WITH LOWE'S

Written on the 21 April 2017 by Ben Hall

WOOLWORTHS CLAIMS LEGAL VICTORY IN STOUSH WITH LOWE'S

SUPERMARKET giant Woolworths (ASX: WOW) has been given the go-ahead to sell its Masters property assets after winning a legal stoush with former US joint venture partner Lowe's.

Lowe's accused Woolworths last year of acting in bad faith after it offloaded 82 sites to Home Consortium for $750 million as part of its exit from the disastrous Masters hardware business.

The legal wrangling initiated by Lowe's delayed the deal with Home Consortium as Lowe's was unwilling to sell its 33 per cent stake in the joint venture.

Lowe's alleged that Woolworths had pressured shareholders in bad faith as it tried to terminate the $1 billion loss-making joint venture.
Woolies announced that an award has been made in the confidential arbitration between it and Lowe's over the sale of the Masters business.

"As a result, Lowe's is now required to sell its shares in the joint venture company for a value determined by a third party independent expert as at 18 January within the range of the valid independent expert's interim valuations previously obtained by each of Woolworths and Lowe's," Woolworths announced to the ASX.

"As a consequence of today's award, Woolworths will be able to conclude the proposed transaction with Home Consortium without the consent of Lowe's once the final valuation and share transfer processes have taken place."

WOW shares were trading at just under half a per cent higher at $26.36 at 2pm AEST.

Business News Australia


Author: Ben Hall

Latest News

SUPER RETAIL GROUP SAYS GOODBYE TO AMART SPORTS BRAND

A BRAND synonymous with Australian sporting goods, Amart Sports, will be retired from 1 November 2017. Super R...

SUPREME COURT GRANTS LEAVE FOR CLASS ACTION AGAINST DICK SMITH

A CLASS action law suit against Dick Smith has been given the green light for shareholders impacted by the company...

NEXTDC SHARES SOLD OFF AS ONGOING SPAT WITH 360 CAPITAL CONTINUES

SHAREHOLDERS in data centre operator NextDC (ASX: NXT) have dumped their stock in the company as its ongoing war of w...

SURVEY SAYS COUNTEROFFERS MIGHT BE A WASTE OF MONEY

TO RETAIN the best and brightest employees it sometimes seems like a good idea to offer more money, but recent res...

Related News

SUPER RETAIL GROUP SAYS GOODBYE TO AMART SPORTS BRAND

A BRAND synonymous with Australian sporting goods, Amart Sports, will be retired from 1 November 2017. Super R...

SUPREME COURT GRANTS LEAVE FOR CLASS ACTION AGAINST DICK SMITH

A CLASS action law suit against Dick Smith has been given the green light for shareholders impacted by the company...

NEXTDC SHARES SOLD OFF AS ONGOING SPAT WITH 360 CAPITAL CONTINUES

SHAREHOLDERS in data centre operator NextDC (ASX: NXT) have dumped their stock in the company as its ongoing war of w...

SURVEY SAYS COUNTEROFFERS MIGHT BE A WASTE OF MONEY

TO RETAIN the best and brightest employees it sometimes seems like a good idea to offer more money, but recent res...

BOOK YOUR FUNCTION SPACE HERE

 

 

 

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter