Eurocash Group takes over the chain EKO – Onet.pl

 
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  Eurocash takes retailer EKO
 
 
 

The agreement was concluded under certain conditions. Its finalization is required, among others, the consent of the President of the Office of Competition and Consumer Protection (UOKiK).

“We remain faithful to our mission of supporting independent retailers in Poland. Buying EKO will enable us to further improve the efficiency of the supply chain for small shops, develop new skills and increase the scale of operations. As a result, we will be able to more effectively support the development of our customers, which is thousands of Polish independent retailers, who are the strength of Polish traditional trade, to unrelenting aggressive expansion of discount stores, “- said a board member of Eurocash Jacek Owczarek, quoted in the release.

Eurocash will take over 100% of shares of EKO Holding

Eurocash said that the acquisition of EKO Holding – network owner 253 supermarkets under the brand names EKO and Ledi, mainly located in the south-western Poland – strengthen the presence and capabilities of logistics group in this part of the country. Furthermore, this investment will enable Eurocash Group to develop competencies in order to all its customers – including affiliated stores in the franchise networks, especially in the distribution of fresh produce, conduct retail and addressing the expectations of the final consumer.

“the most dangerous competitor of our customers are discount chains. Eurocash Group is now a partner of thousands of independent stores in Poland, which is why we are going to be taken over by our stores we lead within partnership with our franchisees, “- said Shepherd.

Eurocash said that thanks to the company’s investment in the shares of EKO Holding , loss-making network acquires a strong strategic partner with the know-how and the means necessary to regain sustained profitability and – consequently – the preservation of jobs over 3.7 thousand. people employed in the network. In 2015. The total sales made by EKO Holding amounted to approx. 1 billion zł, however – despite carried out deep restructuring – it still generated losses.

“the acquisition of shares of EKO Holding is another element of policy acquisition Eurocash Group. the synergies realizable as a result of this acquisition will give to customers and franchisees Eurocash new tools to better compete with shops large-format” – summarized in the information.

Eurocash Group is the largest Polish group dedicated to the wholesale distribution of food products, household chemicals, alcohol and tobacco products (FMCG). As part of the Eurocash Group network of franchise and partner purchased approximately 13,000 independent retail stores. The company is listed on the Warsaw Stock Exchange since 2005.