Cerberus now owns controlling stake in Staples's European business. Staples Inc is retaining the remaining 15% of the issued and outstanding shares of Staples Solutions B.V.
Cerberus Capital Management has completed the acquisition of a controlling stake in Staples' European operations through its affiliate Promontoria Holding 192 B.V. Staples' European business consists of retail, contract and online businesses in 17 countries with total annual sales of €1.7bn.
Under the terms of the sale and purchase agreement, Promontoria Holding 192 is paying €50m for 85% of the issued and outstanding common shares, and 100 % of the preferred shares in Staples Solutions B.V., the newly formed target entity representing Staples' European business. At completion of the transaction, Staples is obligated to deliver Staples Solutions and its subsidiaries with unrestricted cash of €20m and pay Staples Solutions with an estimated €140m, relating to indebtedness, underfunded pension liabilities, working capital, and certain other adjustments.