German Metro Group has decided to split into a Wholesale & Food Specialist group and a Consumer Electronics group by mid-2017. The aim is to speed up the decision-making process, leading to more flexible and efficient companies.
The Wholesale and Food Specialist group will consist of Makro, Metro and affiliates like Real. Media-Saturn and its subsidiaries will form the Consumer Electronics group. CEO Olaf Koch says the split is a logical next step in the company's evolution: "Our shareholders would effectively own two well positioned market leaders, both of whom are increasingly focusing on their respective business areas and are generating more value for customers, employees and business partners."
Koch will lead the Makro-Metro group, while Pieter Haas, currently a Metro Group board member and Media-Saturn CEO, will be in charge of the Consumer Electronics group. Further talks will decide on who will become part of which board of directors.
Shareholders still have to approve the split, but several major parties have already publicly approved the plan. Every Metro Group shareholder will get shares in both new companies, relative to their current stake in the group.
Metro Group is one of the largest retail companies in the world, with nearly 60 billion euro in turnover, more than 2,000 stores in 29 countries and 220,000 employees.