Auchan acquires all CEE Real hypermarkets

Auchan acquires all CEE Real hypermarkets

French hypermarket chain Auchan has acquired the 91 Real hypermarkets in Central and Eastern Europe from German distributor Metro. Double win for the Germans: they have since long been trying to refocus on their core businesses and in doing so, they receive a reward of 1.1 billion euro.

Assimilation into Auchans

Auchan takes over all of Real's hypermarkets in Poland, Romania, Russia and the Ukraine: in these countries, the name 'Real' will disappear as the hypermarkets will be assimilated into Auchans. The French chain also acquires Real's real estate, including thirteen shopping centres in Russia and Romania.

 

In the four countries concerned, Real has a yearly tunrover of 2.6 billion euro and employs 20,000 people. The new stores will almost double Auchan's current presence of 98 hypermarkets in these countries.

 

Second major acquisition in CEE

Although the two main parties have agreed to the transaction, it still needs approval of the competiton agencies in the four countries. Auchan hopes to finish the deal somewhere next year.

 

This is the second major acquisition this year for Auchan in the CEE region, after buying all seven Hungarian Cora hypermarkets from the Belgian Louis Delhaize chain last April.

 

Focus on core businesses

The Metro Group has been trying to focus on its two main strengths, cash and carry (Metro, Makro) and consumer electronics (Media Markt, Saturn), and is in a long process of cutting off less profitable parts of its empire. After shelving the sale of Galeria Kaufhof, this transaction is Metro's first big step towards achieving that goal.

 

Still, the lion's share of Real is not part of the deal, as the 316 German and 12 Turkish hypermarkets (generating a turnover of 8.6 billion euro) remain under Metro's control. Their future within the German group is unclear.

Questions or comments? Please feel free to contact the editors


Patrick Louvet is Ralph Lauren's new CEO

19/05/2017

Fashion label Ralph Lauren has appointed Patrick Louvet as its new CEO. He will succeed Stefan Larsson, who decided to leave the company following a difference of opinion with founder and chairman Ralph Lauren.

Scotch & Soda continues French conquest

18/05/2017

Dutch fashion brand Scotch & Soda will soon open boutiques in Dijon and Paris, to add to its nine boutiques in France.

Urban Outfitters once again failed to meet expectations

17/05/2017

Fashion company Urban Outfitters failed to live up to 2017’s first quarter expectations. Its like-for-like turnover dropped again for Anthropologie, Free People and Urban Outfitters’ parent company.

Stella McCartney strengthens its retail strategy

16/05/2017

Fashion label Stella McCartney introduced a new store formula in Paris, focused on sustainability. The brand wants to open new stores in Florence, Los Angeles and New York in the summer.

Abercrombie & Fitch considers sales options

11/05/2017

American clothing brand Abercrombie & Fitch has enlisted an investment bank to look at its options if it were to sell the fashion company, although this does not mean it will definitely be sold.

More than 20 million active Zalando customers

09/05/2017

At the end of its first trimester, Zalando surpassed the twenty million active customer milestone. Turnover for the quarter also grew nearly 25 %, to 980.2 million euro.

Back to top