DSG may close some French stores after poor sales
Europe's largest electrical goods retailer DSG International Plc said on Friday it was reviewing its operations in France because of poor sales and might close 11 stores.
DSG said the move followed significant continuing losses in PC City France and it was increasing its focus on Internet sales.
"Promotional restrictions and the competitive property market make it increasingly difficult to achieve scale, in terms of store numbers, and brand awareness," DSG said in a statement.
DSG, with operations in 27 countries, has been the subject of bid talk since reporting poor Christmas sales due to a surprisingly weak showing in Britain, France and Italy.
Like for like sales in Britain, where DSG owns Currys and PC World, have also concerned analysts of late.
DSG shares opened 2.4 percent higher at 182 pence.
The shares had lost 8 percent of their value in the past two months, and institutional investors Goldman Sachs and Deutsche Bank have sold down stakes in recent weeks.
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