London, England, Nov. 1--Carpetright PLC said it has bought the remaining 50% of Carpetland NV, a carpet retailer in Belgium, Holland and Luxembourg, for 10 million euros.
The company acquired the original 50% of Carpetland in June for 15 million euros along with certain freehold and long leasehold properties from which Carpetland operates for approximately 35 million euros.
There will be approximately 10 million euros in reorganisation costs relating to staff redundancies, fixtures and fittings, and discontinued products.
The freehold and long leasehold property purchases have been completed for an actual cost of 26.4 million euros at an initial yield of 9.5% after a professional valuation undertaken by Healey & Baker.
Carpetright said all of these purchases, at a total cost of 51.4 million euros, will be funded out of existing group resources.
Carpetland made a profit before interest and taxes of 5.5 million euros for the year ended to December 31, 2001 and had net assets of 46.1 million euros.
