Durrant Pate/Contributor

Trinidad and Tobago (T&T)-based distribution conglomerate, Massy Holdings has bought another company, the second in two weeks.

Massy, which has operations throughout the Caribbean, including Jamaica, has acquired Rowe’s IGA Supermarkets through its American subsidiary, Massy Stores (USA) LLC, for US$47 million.

Rowe’s IGA is an independent supermarket chain with seven stores in Jacksonville, Florida. It was established in 2005 and is a well-recognised brand within the Jacksonville area.

The purchase of the supermarket chain comes two weeks after announcing the sale of the T&T business of French company, Air Liquide International S.A.

Massy Stores (USA) entered into a Membership Interest Purchase Agreement with the sole owner of Rowe IGA, Robert Rowe, to purchase all his equity holding of each of the seven limited liability companies within the Rowe IGA Group.

Acquisition completed yesterday

The acquisition, which was completed yesterday (December 12), represents a one per cent increase in Massy Group’s assets and is expected to contribute to an increase in pre-tax profit of approximately four per cent.

For Massy’s Integrated Retail Portfolio, the acquisition is expected to increase its pre-tax profit by seven per cent.

In an advisory today, Massy, whose shares are cross listed in T&T and Jamaica, said the acquisition of Rowe IGA is aligned with its Integrated Retail Portfolio’s strategy to expand its retail footprint in the American market.

Massy Holdings, which has been in operation since 1923, is a large conglomerate with diversified interests and businesses spanning the Caribbean, including Jamaica.

Massy entered into a share purchase agreement with Air Liquide International in November of this year to purchase 100 per cent of the share capital of Air Liquide T&T for US$51.5 million – US$58 million.

Payment of the higher end range related to an earn-out that is payable annually based on additional value considerations being met. Completion of the transaction remains subject­ to regulatory approval by the Trinidad and Tobago Fair Trading Commission.

Air Liquide T&T makes and supplies oxygen, nitrogen and argon gases to commercial clients. The 30 workers it employed there will be integrated into Massy Gas, the French company said in a statement.

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