Casino Guichard-Perrachon SA is in talks with German competitor Aldi to sell its Leader Price chain of discount stores, the French retailer said late Thursday.
The company’s CO, +2.29% statement confirms a report from French daily Les Echos and comes as the company is trying to tackle its debt burden. Its majority shareholder Rallye RAL, +0.76% has entered into bankruptcy protection in France.
The talks, which started after Aldi sent an expression of interest for Leader Price, are aimed at the submission of a binding offer, Casino said.
No financial details were disclosed, but Les Echos said the deal could be worth more than 400 million euros ($441.9 million).
Last month Casino said that it had identified around EUR2 billion of assets in France that it intends to sell, in addition to a separate EUR2.5 billion disposal plan.