In a deal worth CZK 5.2bn, Ahold, is taking over Spar’s 50 grocery outlets in the Czech Republic and will rebrand them as Alberts. The transaction will make Ahold the top food retailer on the Czech market. The deal still needs to be approved by the Czech Antimonopoly Office.
“The acquisition will increase Ahold’s revenues by 30 percent,” says Dick Boer, who heads the company. Boer believes that under Ahold’s management, Spar outlets will began making a profit again, as they are well-located.
Of the 50 Spar outlets on the Czech market, 35 are hypermarkets and 15 are supermarkets. In 2013 they posted a net turnover of CZK 12bn. However, the retailer racked up CZK 3bn in losses over the last few years, posting a loss of CZK 545m in 2012 alone. Rudolf Staundiger, a member of Spar’s board, says the retailer will focus on Italy, Hungary, Slovenia and Croatia.
