‘Tough’: Myer pushes on with major acquisition as sliding sales leave sour taste

Myer is hoping the Christmas retail rush will put the company’s books in a better state, with the retail giant’s sales down so far this year.

The company held its annual general meeting in Melbourne on Tuesday, where the next steps in its massive merger with the owner of Jay Jays, Dotti, Jacqui E, Just Jeans and Portmans was spelled out.

Shareholders will vote on the proposal in January and Myer expects the deal to go through in “early 2025”.

The 124-year-old department store business would acquire 719 stores across Australia and New Zealand, while the previous owner of the aforementioned brands was set to receive 890.5 million new Myer shares.

Myer executive chair and director Olivia Wirth told shareholders on Tuesday sales were down across Myer stores, and the company would be looking to invest in stores “in the right areas”.

“Myer has not been immune from the challenging macroeconomic conditions and inflationary pressures confronting the retail sector,” Ms Wirth said.

“Our total sales were down, reflecting the tough cost-of-living environment, as well as the closure of the Brisbane, Frankston and Weribee stores for all, or part, of the year.”

Released in mid-September, Myer’s full year financial results showed a 26 per cent fall in profit and 10 per cent slide in pre-tax earnings.

The 35-year-old Brisbane Myer store was forced to close in mid-2023 when a deal could not be struck with the landlord.

The Frankston store in Melbourne’s suburbs had been open for 50 years but shut in January 2023 as a cost-cutting measure amid a push for more online trade.

Whole shopping centre renovations forced the closure of the Weribee store for essentially all of 2024 but it is open again.