FRANKFURT, Sept 4 Praktiker, the
insolvent German home improvement store chain, is likely to be
broken up after attracting bids only for its Max Bahr business
and some Praktiker branches, a source close to the negotiations
The group filed for insolvency in July, having struggled to
recover from a short-lived attempt to go upmarket and row back
on its popular "20 percent off everything" promotions.
The insolvency administrators decided to close 48 of the 163
Praktiker stores, but how many of the remaining outlets will
become part of the Max Bahr chain and how many can be sold to
competitors or other investors is still subject to negotiation,
the source said.
Among the handful of bidders are Praktiker rivals from
Germany and financial investors who specialise in restructuring
companies, the source said, adding that the bidders will now be
given access to Praktiker's financial data.
Any deals should be made by the end of September, the source
A spokesman for Praktiker declined to comment.
The administrators, who are working with Macquarie Group
to find investors, were not immediately available for
At 1100 GMT shares in Praktiker were down nearly 33 percent
at 0.05 euros.
($1 = 0.7601 euros)
(Reporting by Alexander Huebner, Sabine Wollrab and Peter
Dinkloh; Writing by Marilyn Gerlach; Editing by Philipp
Halstrick and David Goodman)