German food retailer Edeka has announced today (Thursday) that it has formed a European co-operation deal and taken over the discounter Netto Süd and Spar Handels AG.
As well as taking over Michael Schels & Sohn GmbH & Co. KG (Netto Süd) Edeka is taking a 25% stake in Netto Stavenhagen (Netto Nord), while acquiring Spar Handels AG from ITM Entreprises.
Edeka’s co-operation deal is with the French retailer ITM Entreprises and the Spanish Eroski Group in the marketing company Alidis/Agenor.
The Alidis grouping represents total retail sales of €75bn (US$97bn), the company said. The partnership will create the necessary weight to counter increasing concentration among international manufacturers. Each partner will have a one third stake in Alidis/Agenor.
The purchase of Netto Süd puts Edeka in the discount sector. Netto Nord will be controlled by 75% stakeholder Dansk Supermarked. The European Commission cleared Dansk Supermarked’s takeover of Netto Nord on Tuesday.