French retailer Auchan will open its first Atac supermarket in Russia in September as part of the group's ongoing expansion into the region, according to the Moscow Times, which cited a Vedomosti report.

The new Atac store will be located in northern Moscow near the Altufevo metro station, close to the Moscow ring road or MKAD.

It will compete with existing supermarkets in Moscow, including Sedmoi Kontinent, Perekryostok, Ramstore and Kopeika.

An internal document cites Atac Russia marketing director Stephane Dugardin, who declined to comment on the report Tuesday.

Auchan already owns more than 400 Atac supermarkets worldwide.

The area around the MKAD has become popular for retailers, since it is easily accessible from the city and the surrounding region. Major retailers with an MKAD location include Crocus City, Mega Mall, Ramstore City, Mosmart and Way-mart.

Auchan already has hypermarkets in both of the Mega Malls in Khimki and Tyoply Stan, located in the northern and southern parts of the city.

"It is increasingly hard to find good locations in Moscow, since most are already in use," said Yelena Borodenko, consumer goods analyst at Alfa Bank. "The market in the regions offers more potential for supermarkets, since there is more room for expansion there. Atac will likely start in Moscow and move into the regions over time."

The move comes as Auchan increases its business in Russia. Earlier this month, it said it planned to open four additional hypermarkets: two in St. Petersburg, one in Nizhny Novgorod and one in Yekaterinburg.

Auchan Russia already runs six hypermarkets in Moscow and the surrounding region, and it plans to open a seventh in November.