The owner of Argos is buying Homebase in deal worth around £900 million sterling.
British retail group GUS says the deal is in line with both groups' strategies to expand in the growing market for furniture and homewares.Chief executive Mr John Peace said: "For the last three years, we have been repositioning our portfolio of businesses to focus on growth. The acquisition of Homebase is a further example of our determination to create shareholder value".
The deal has been announced alongside better than expected first half results.
Underlying pretax profit was £247 million, against £206 million a year earlier and City forecasts of between £230 million and £236 million.
