The Venezuelan authorities yesterday (18 January) moved to seize control of the Exito hypermarket chain, which is controlled by Groupe Casino.
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In his weekly television address, Venezuela’s President Hugo Chavez reportedly accused the retailer of pushing through “speculative” and “illegal” price increases after the government devalued the local currency on 8 January, setting the rate at VEB2.6 per dollar on essential imports for products such as foods.
The nationalisation of Exito follows Chavez’s closure of a number of stores, from electrical appliance suppliers to food retailers, last week.
When contacted by just-food, a spokesperson for Casino declined to comment on Chavez’s accusation that the group was pursuing an illegal pricing policy.
However, the spokesperson insisted that the news would have “negligible” impact on Casino’s financial results.
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By GlobalData“Exito’s contribution to Casino’s profits is negligible. We do not see a material impact.”
