Sydney - The upmarket Australian retailer David Jones said a takeover proposal from Woolworths has been approved by Australia's foreign investment review body.
This clears a hurdle for the creation of a southern hemisphere retailing giant.
Woolworths offered to buy David Jones a month ago for $2bn after trumping a bid from Myer Holdings.
David Jones said in a statement that Australia's Foreign Investment Review Board (Firb) had no objection to the takeover proposal. The Firb does not issue public statements on its decisions.
The David Jones board continues to unanimously recommend the proposal to shareholders.
David Jones also said on Tuesday that its total sales in the third quarter rose 4.1% to $377.47m, with comparable sales up 2.4%.
David Jones shares edged up 0.3% to A$3.96 as of 02:28, compared with a 0.4% gain for the broader market.
This clears a hurdle for the creation of a southern hemisphere retailing giant.
Woolworths offered to buy David Jones a month ago for $2bn after trumping a bid from Myer Holdings.
David Jones said in a statement that Australia's Foreign Investment Review Board (Firb) had no objection to the takeover proposal. The Firb does not issue public statements on its decisions.
The David Jones board continues to unanimously recommend the proposal to shareholders.
David Jones also said on Tuesday that its total sales in the third quarter rose 4.1% to $377.47m, with comparable sales up 2.4%.
David Jones shares edged up 0.3% to A$3.96 as of 02:28, compared with a 0.4% gain for the broader market.