© Reuters. FILE PHOTO: An organization brand is pictured exterior a department of an Aldi grocery store in Manchester, Britain, March 17, 2016. REUTERS/Phil Noble/File Picture
OSLO (Reuters) -Norway’s Reitan Retail mentioned on Friday it had agreed to purchase 114 Danish grocery shops and three distribution centres from German rival Aldi for an undisclosed quantity, boosting the Norwegian group’s chain of Rema 1000 low cost shops.
“This can considerably elevate our Danish income and will make Rema 1000 the most important chain of grocery shops in Denmark,” Reitan Retail Chief Government Ole Robert Reitan informed Reuters.
Earlier than the transaction, Rema 1000 had round 330 grocery shops in Denmark.
The family-owned group declined to say how a lot it might pay for the brand new shops.
German discounter Aldi mentioned in an announcement the sale was a part of a full exit from the Danish market, the place it has a complete of 188 shops. Aldi will as an alternative concentrate on eight different key markets in Europe.
As a part of the deal, round 1,200 of Aldi’s whole workforce of two,800 shall be made redundant, Aldi mentioned.
Reitan Retail, comprising comfort shops, meals retailers and petrol stations within the Nordic and Baltic area, introduced in 2020 that it aimed to conduct an preliminary public providing however has but to set a date for the deliberate itemizing.
“The IPO will occur when the appropriate situations are in place,” Ole Robert Reitan mentioned.
Reitan Retail, which has some 42,000 workers throughout seven international locations, earlier this yr reported an working revenue (EBIT) of three.8 billion Norwegian crowns ($381 million) for 2021, down from 4.4 billion in 2020.
($1 = 9.9668 Norwegian crowns)