We do not think the failure of Steinhoff to secure the Darty acquisition is necessarily a setback. With the bidding war, Darty was priced substantially higher than SNH’s Conforama acquisition in 2011. The amount of work that would be required to convert Darty into a higher margin business may not be justifiable at the elevated purchase price, in our view.
On a separate issue, we look into the potential support the influx of migrants could have to the consumer markets in Europe.
