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Cheap Auto buys Ray's

Written on the 28 April 2010 by Financial Review

Super Cheap Auto Group agreed to buy leisure retailer Ray's Outdoors as it looks to take a larger share of the growing outdoor sector dominated by newly-listed Kathamandu.

Ray's sells camping products in 38 stores in five states. It has its own brands such as Wild Country and Outdoor Expedition, supplemented by brands like Akubra, Coleman and Columbia. The deal values Ray's Outdoors at $54 million which includes its debt.

Super Cheap Auto said the deal wouldn't affect its BCF stores, which sell boating, camping and fishing equipment. "We are going to maintain BCF as a specialist format," managing director Peter Birtles said.

"Ray's will be a more general outdoor business, and we see opportunities to build on strengths in design and apparel."

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Author: Financial Review

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