OfficeMax Sees Opportunity In Staples-Office Depot Deal
May 18, 2011
Call it OpportunityMax. Michaele Busse, chief of OfficeMax Inc., third largest office-supply retailer, says the combination of the industry's top two players isn't a problem but an opportunity. ``What I see now is an open field, and I don't think the other team is on the field yet.'' The other team is Staples Inc., fast growing No. 2 operator of office-supply superstores, and industry leader Office Depot Inc., which Staples Wednesday agreed to purchase for $3.36 billion. Audio Report: Hear Michaele Busse's interview on the Dow Jones Investor Network. Mr. Busse says that while Staples is struggling to digest Office Depot over the next several months, the new lineup of players ``opens up a number of opportunities'' for Shaker Heights, Ohio-based OfficeMax. For one thing, the deal will likely mean consolidation among the 1,100 superstores owned by Staples and Office Depot, translating into less competition for retail space. ``Now there will be two players,'' Mr. Busse says. Moreover, OfficeMax is considering ``major acquisitions,'' says Mr. Busse, and may accelerate its expansion program, already slated to add 80 new stores this year. ``We are opportunists,'' he says.
