Australian department store Myer has received shareholder backing for its proposed merger with the Apparel Brands subsidiary of Premier Investments Limited. In a general meeting held by the company, 95.45 percent of shareholders voted in favour of the proposal.
Upon announcing the results of the meeting, Myer executive chair, Olivia Wirth, said the company was delighted at the “strong backing”, with shareholders demonstrating their “overwhelming support for the combination” and the company’s strategy “to create a leading retail platform across Australia and New Zealand”.
Myer and Premier first began exploring a potential partnership back in June 2024 as part of a strategic review undertaken by Wirth who had set out to increase Myer’s profitability and drive sustainable earnings growth.
The combination with Apparel Brands, the parent company of Jay Jeans, Jay Jays and Dotti, accelerates Myer’s strategic priorities, according to Wirth, who said in a separate regulatory filing that the company wanted to deliver “a step-change” in its market position and generate financial benefits for shareholders. It further intends to tackle the challenging trading environment in which Myer finds itself, which Wirth said has demonstrated why it is crucial for retailers to innovate and evolve.
Combined, the two groups will boast pro forma historical annual sales of more than four billion AUS dollars in FY24, as well as a “stronger balance sheet to fund future investment and growth”. It will also bring together a joint store count of 783 department and speciality stores.
The deal is anticipated to close January 26, with Premier brands to officially join the Myer portfolio from January 27.
