In a statement, Courts plc said it recently entered into a sale and purchase agreement with Cobalt Holding Co Ltd. - a wholly-owned subsidiary of BVI-based Regal Forest Holding Co. Ltd. (RFH), with respect to the sale by Courts plc of its interest in all Courts Caribbean companies.

Cobalt, said to be the largest consumer electronics and furniture retailer in Central America, emerged as the successful bidder for the Caribbean operations of Courts in January, at the end of competitive public auction initiated by the creditors of Courts plc in London in July 2005.

Country Manager of Courts Guyana Inc., Mr. Lester Alvis, in an invited comment yesterday following the announcement of the takeover bid, said the sale and purchase agreement was signed Monday and everything should be finalised by mid December.

Asked what this means at the local level for the company’s Guyanese staff complement and the large percentage of Guyanese who support Courts, Alvis assured that the rights of all Courts employees are fully safeguarded and customers have absolutely nothing to worry about.

“At the local level, nothing has changed – the brand name remains unchanged, the employees remain unaffected…and there will be no closure of any of the Courts stores across Guyana,” he said.

He said “Courts is now on a much surer financial footing and looks forward with optimism and confidence to a brighter future.”

Cobalt intends to operate Courts as a long term going concern, strengthening operational and strategic links within the Caribbean and developing similar links with its sister operations in Central America.

According to Alvis, Courts will continue to be managed by the existing management team under the leadership of a regional corporate executive.

He said Regal Forest is the largest consumer electronics and furniture retailer in Central America, with more than 245 stores in six countries, employing more than 4,000 people.

The stores are very similar to Courts and like Courts, it provides in-house credit and finances its own credit portfolio, he said.

Through the purchase of Courts, Regal Forest will acquire the major retail brand in the English-speaking Caribbean and together they will have a significant retail footprint in 17 countries with more than one million active customers, the statement said.

Alvis also assured that Regal Forest’s acquisition of Courts means continuity of local employment and service, with enhanced opportunities for expansion and growth.

Regal Forest’s ownership will also enhance opportunities to improve and expand Courts’ range of products and services and deliver even greater value to customers through improved technical support and assuring continuity of service throughout the Caribbean.