German media are already certain that Metro is withdrawing from Belgium and India. CEO Steffen Greubel will announce the official plans on Wednesday.
“Emergency”
The CEO, who took office in May 2021, wants to make his company more efficient, and has – according to German business magazine Handelsblatt – visited almost all of the 34 countries in Metro is active. The magazine claims that he is preparing to withdraw from Belgium and India, in line with rumours that circulated last week. Confirmation would come tomorrow, as Greubel presents his new strategy to analysts and investors.
The German reports do not spell good news for the Belgian branch, claiming the sale of the seventeen Belgian stores is “an absolute emergency” due to the long-lasting substantial losses – the German head office spent almost half a billion euros on its ailing Belgian branch in the last few years. Moreover, trade unions are said to make a thorough restructuring almost impossible, Handelsblatt claims. It is, therefore, quite unlikely that a buyer can be found.
A second market from where Metro would want to retire, is India. The retailer is said to be profitable in that country, but it would take huge investments in order to be able to continue the fight with the competition. Metro would, therefore, be looking for a strategic partner.
