Mitre 10 turns to Africa for deal

DIY retailer Mitre 10 has struck a deal with South African hardware chain Mica to co-operate on product sourcing and exchange business information.

Johannesburg's Business Day reported that the deal was reached after Mitre 10 met Mica's owners, Super Group, to discuss improvements to its supply chain.

Super Group's Karen Bell said Mitre 10 was impressed by what her firm was doing and a partnership was rapidly reached. Mica will get advice on how to better run its chain of hardware stores and Mitre 10 will get assistance on improving its supply chain management. Both firms are to co-operate on global procurement.

Mitre 10 chief executive Craig Wilson said: "We are confident that this strategic collaboration will create tangible value for our respective businesses."

Bell said the deal would give the two companies, which between them have about 400 stores, the ability to get better prices from suppliers.

Super Group chief executive Larry Lipschitz said Mitre 10 had much expertise in launching and running "big box" stores, having launched seven new Mega Mitre 10 stores in the past 18 months.

Mitre 10, a co-operative franchise group, has 123 Mitre 10, and eight Mega Mitre 10 stores in New Zealand as well as a number of stores in Australia.

- NZPA