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STEINHOFF'S French retail arm is acquiring a stake in online flash sales business Showroomprivé, opening the door to its expansion in the home furnishings category.


Through Conforama, the furniture and electricals retailer, it is spending €157.4 million to acquire a 17 percent stake in the digital business, which is specialised in online event sales of fashion and homewares.


The move gives Showroomprivé access to worldwide sourcing, Conforama's physical store network for click-and-collect, and Steinhoff's wider retail presence in more than 30 countries worldwide, Showroomprivé said in a statement.


It will also likely see Showroomprivé expand its household goods product offer, especially in furniture and homeware, it added.


In return, Steinhoff and Conforama is investing in a cash generative and profitable digital pure-play, it said, plus it gains access to about 28 million Showroomprivé customers.


It is acquiring the shares off Showroomprivé's founders, who will retain 27 percent of the company's capital and 38 percent of the voting rights following the transaction.



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