Wholesaling | 4:25 February 02, 2010 | Print this story

MBL adds WHSmith to its supply pacts

The MBL Group, which already has agreements with Best Buy Europe and Morrisons, announced a two-year pact to supply DVD and Blu-ray Discs to WHSmith’s 448 UK high street stores.

MBL, which reported total sales up year-on-year by 30.1% to £84.8 million in the third quarter ending Dec. 31, has impressed analysts in its move to fill the void created by the collapse of Woolworths and Entertainment UK.

Investment bank Seymour Pierce said MBL’s stock was currently undervalued and reiterated its “buy” recommendation: “The company has been a significant beneficiary of capacity coming out of the market over the last year and is now in a strong position to dominate the market to supply third parties with entertainment product.”