News, Tools, Training for Key / National Account Managers
(KAMs / NAMs) working in the FMCG / Retail industry

NamNews Free Trial

Subscribe

Advertise

Contact Us

Search KamCity

« Back to News Headlines

 

NamNews Retail News

 RSS Feed

 Follow us on Twitter

THE NETHERLANDS: Not Likely To Become A Takeover Target – Ahold CEO

Ahold CEO John Rishton has dismissed analyst concerns that the Dutch grocer could become a takeover target, saying it intends to remain independent. In media comments, he said, “We haven’t spent all this time, trouble and effort to strengthen our business and recover and get ourselves into a very strong position, to become a takeover target”.

Analysts had said that Ahold was running the risk of becoming too attractive for rivals, due to its low share valuation and its high cash reserves. The group’s stock price has risen by just 4.3% this year, giving it a current market capitalization of E10.8bn. That compares poorly with rivals such as Delhaize (share price up 17% this year) and Tesco (shares up 18%).

Ahold also today announced plans to cut costs by another E350m over the next three years, having already saved E500m since 2007, but he remarked, “Having too much cash isn’t a problem, frankly”. Rishton said the group will use the money to open new stores, buy outlets from rivals and make takeovers. He also said he has “no problem” in returning cash to shareholders, noting, “We returned E4.0bn to our investors in 2007 and 2008. So, that’s clear evidence that if we think it’s the right thing to do, we’ll do it.”

NamNews - Thursday 19th November 2009

 

THE NETHERLANDS: Not Likely To Become A Takeover Target – Ahold CEO


 

See column on the right for related news items
or search our NamNews Archive containing over 9 years of industry news (Subscriber-only)

 
 
 

Related Articles

NETHERLANDS: Ahold Q2 Profit Boosted By World Cup

US: Stop & Shop Hits Back Over A&P Claims

US: A&P Takes Stop & Shop To Court Over Price Ads

NamNews Fact File: Ahold

CZECH REPUBLIC: Regulator Launches Inquiry Against Ahold, Kaufland

THE NETHERLANDS: Ahold Says Will Wait To Get US Deals

SWEDEN: ICA CEO Denies Exit Rumours

US: Ahold Sees Growing Use Of Personal Scanners

BELGIUM: Ahold Confirms Plans For Entry

THE NETHERLANDS: Ahold Profit Up Despite Tough US Market

US: Giant-Carlisle Talks About Product Rationalisation

 

 

   
   
About KamCity  |  Advertise  |  Contact us  |  Copyright & Disclaimer  |  NamNews Free Trial  Search KamCity