Aldi Süd and Aldi Nord to take over American Tescos

Aldi Süd and Aldi Nord to take over American Tescos

Both chains of Aldi want to take over American Fresh & Easy, currently owned by Tesco. The British chain had seriously underestimated the cost of conquering a place in the very competitive American market.

Ambitious plans stifled by crisis

Fresh & Easy is a chain of about 200 smaller supermarkets along the West Coast and in Arizona. In the financial year 2011/2012, the company had sales of approximately 750 million euro.

 

Owner Tesco had ambitious plans for the chain, which started in 2007, and invested around 1.1 billion euro in it. The last few years big losses piled up and thus the project was halted. Apparently a lot of chains underestimate the cost to compete in a competitive market such as the United States. Even finding decent locations is hard work. The added stress of the economic crisis also is not helpful.

 

Aldi Süd already has Aldi locations in the US, while Aldi Nord has a cooperation with discounter Trader Joe’s. Together both Aldi groups have 1400 locations in the US, so splitting up Fresh & Easy between them both is far from impossible.

Questions or comments? Please feel free to contact the editors


Martin Winkler is Falke Group’s new CEO

19/07/2017

Falke Group, known for its leg fashion brand Falke, announced Martin Winkler will become its new CEO, succeeding Uwe Bergheim, who will retire.

Marc O’Polo gets new CEO

19/07/2017

Current fashion brand Marc O’Polo CEO, Alexander Gedat, will step down on 31 August and Dieter Holzer will succeed him. He has plenty of experience as a leading figure in the fashion industry.

Multiple companies interested in Jimmy Choo

19/07/2017

Luxury shoe brand Jimmy Choo is attracting several interested buyers, apparently including Michael KorsInterparfums and Hony Capital.

Puma increases profit forecast again

18/07/2017

For the second time this fiscal year, German sports brand Puma increased its profit forecast. A strong first quarter prompted the first adjustment and this second quarter was also above expectations apparently.

C&A divest from Russia

18/07/2017

Textile chain C&A will fully divest from Russia. It currently collaborates with Russian Trade Group to manage its local store network, but it has pulled the plug on that deal. Mexx has also decided to shut down every Russian store.

Zalando reveals Prime-like subscription service

18/07/2017

In the second quarter of 2017, web shop Zalando’s turnover did not grow as much as it did in previous quarters, according to the company’s preliminary results. Zalando also announced a new subscription service.

Back to top