Friday, July 10, 2020

Tesco sells Polish business citing ‘market challenges’

Tesco is selling its polish business unit in Poland amid market challenges as it looks to hone its focus in Central Europe.

The sale to Salling Group A/S includes the sale of 301 stores together with the associated distribution centres and head office.

“We have seen significant progress in our business in Central Europe, but continue to see market challenges in Poland,” Tesco Chief Executive Dave Lewis.

“Today’s announcement allows us to focus in the region on our business in the Czech Republic, Hungary and Slovakia, where we have stronger market positions with good growth prospects and achieve margins, cashflows and returns which are accretive to the Group.”

He added: “We see this transaction as the best way to secure the future of the business for our colleagues and customers in Poland.”

Total enterprise value agreed for the transaction is PLN 900m (equivalent to £181m), with total net proceeds expected to be approximately PLN 819m (equivalent to £165m).

Tesco said that proceeds from the sale will be used for general corporate purposes.

The deal is subject to is subject to antitrust approval.

A message from the Editor:

Thank you for reading this story on our news site - please take a moment to read this important message:

As you know, our aim is to bring you, the reader, an editorially led news site and magazine but journalism costs money and we rely on advertising, print and digital revenues to help to support them.

With the Covid-19 lockdown having a major impact on our industry as a whole, the advertising revenues we normally receive, which helps us cover the cost of our journalists and this website, have been drastically affected.

As such we need your help. If you can support our news sites/magazines with either a small donation of even £1, or a subscription to our magazine, which costs just £31.50 per year, (inc p&P and mailed direct to your door) your generosity will help us weather the storm and continue in our quest to deliver quality journalism.

As a subscriber, you will have unlimited access to our web site and magazine. You'll also be offered VIP invitations to our events, preferential rates to all our awards and get access to exclusive newsletters and content.

Just click here to subscribe and in the meantime may I wish you the very best.















Latest news

Tyson launches flagship chicken brand in European foodservice

Tyson Foods, one of the world’s largest food company, is launching its legacy Tyson chicken brand in the European foodservice market. The company is introducing...

Nespresso to expand Romont production centre to meet demand

Nespresso is investing CHF 160 million (£135m) investment to expand its Romont production centre in Switzerland to meet increasing consumer demand and support international...

Aldi UK pledges to never sell chlorinated chicken, hormone treated beef

Aldi UK will never sell chlorinated chicken or hormone injected beef, regardless of any future trade deals, CEO Giles Hurley has pledged. The supermarket –...

Start-up reducing sugars in orange juice is scaling up

Better Juice, the Israeli food-tech start-up behind an innovative technology that reduces all types of sugars in orange juice, is scaling up. The start-up is...

SICK’s Advanced IO-Link Encoders Streamline Machine Controls

SICK has released advanced variants of its AHS36 and AHM36 IO-Link absolute encoders that can harness valuable diagnostic insights for better machine control and...

SICK’s W4 Inox Sensor: Tiny, Tough and Task-Orientated

The SICK W4 Inox is SICK’s first stainless steel photoelectric Inox sensor with on-board Smart Tasks that can be used even in the harshest...

Related news

Tyson launches flagship chicken brand in European foodservice

Tyson Foods, one of the world’s largest food company, is launching its legacy Tyson chicken brand in the European foodservice market. The company is introducing...

Nespresso to expand Romont production centre to meet demand

Nespresso is investing CHF 160 million (£135m) investment to expand its Romont production centre in Switzerland to meet increasing consumer demand and support international...

Aldi UK pledges to never sell chlorinated chicken, hormone treated beef

Aldi UK will never sell chlorinated chicken or hormone injected beef, regardless of any future trade deals, CEO Giles Hurley has pledged. The supermarket –...

Start-up reducing sugars in orange juice is scaling up

Better Juice, the Israeli food-tech start-up behind an innovative technology that reduces all types of sugars in orange juice, is scaling up. The start-up is...

By continuing to use the site, you agree to the use of cookies. more information

The cookie settings on this website are set to "allow cookies" to give you the best browsing experience possible. If you continue to use this website without changing your cookie settings or you click "Accept" below then you are consenting to this.

Close