Costco to Buy Out Mexican Venture Partner

       

       

Costco has reached an agreement with Controladora Comercial Mexicana (CCM), its partner in Costco de México, to acquire CCM’s 50 percent interest in the Mexican operations.

A Costco statement put the purchase price at $760.4 million. In addition, Costco de México has declared a cash dividend of about $340.85 million, 50 percent payable to Costco and 50 percent to CCM. Costco will use its dividend proceeds to fund the purchase, while CCM will use its share of the dividend to pay down debt.

Jaime Gonzalez Solana will continue in his current post as CEO of Costco de México, the statement said. Also, Guillermo Gonzalez Nova and Carlos Gonzalez Zabalegui, respectively CCM’s chairman and CEO, will continue as members of Costco de México’s board.

The closing of the deal is subject to the approvals of the Mexican Federal Competition Commission and CCM’s shareholders.

Costco to Buy Out Mexican Venture Partner

       

       

ISSAQUAH, Wash.-Costco has reached an agreement with Controladora Comercial Mexicana (CCM), its partner in Costco de México, to acquire CCM’s 50 percent interest in the Mexican operations.

A Costco statement put the purchase price at $760.4 million. In addition, Costco de México has declared a cash dividend of about $340.85 million, 50 percent payable to Costco and 50 percent to CCM. Costco will use its dividend proceeds to fund the purchase, while CCM will use its share of the dividend to pay down debt.

Jaime Gonzalez Solana will continue in his current post as CEO of Costco de México, the statement said. Also, Guillermo Gonzalez Nova and Carlos Gonzalez Zabalegui, respectively CCM’s chairman and CEO, will continue as members of Costco de México’s board.

The closing of the deal is subject to the approvals of the Mexican Federal Competition Commission and CCM’s shareholders.