By Paul Kunert
9 September 2008
DSGi has brushed aside reports that it approached German retail leviathan Metro AG to offer itself up as an acquisition target.
Speculation was rife over the weekend after the Financial Times claimed DSGi had offered to sell its entire operation to the Media Markt subsidiary of Metro in the Spring with no success.
A spokesman for DSGi, parent of PC World Business, Equanet and Microwarehouse told Microscope “there have been and there are no formal discussions between the two companies".
“John Browett and the management team are totally focused on the renewal and transformation programme and have been from day one,” added the spokesman.
According to FT sources, the German firm was deterred by the size of any potential deal and both retailers would obviously be subject to approval by European anti-trust authorities should any joint venture be proposed.
Joining forces may not be such a bad idea in the current climate, especially with
US giant Best Buy preparing to lay siege on Europe with help from Carphone Warehouse, after it bought a 50% stake it in the firm in May for £1.1bn.
