It’s official! As reported on June 11, the Carrefour group announced on July 1, 2024 the takeover of the Cora and Match brands. The distributor has in fact obtained an exemption from theCompetition Authority to finalize this acquisition.”It must still rule on the substance and on possible remedies by the end of the first quarter of 2025. Given the expected benefit of the transaction for the end consumer, thanks in particular to future price reductions, and the strong geographical complementarity of the two groups, Carrefour estimates limited competition issues“the distributor emphasizes.
The transaction involves the purchase of 60 Cora and 115 Match for a value of 1.05 billion euros. It also integrates the walls of 55 hypermarkets and 77 supermarkets. Carrefour plans to convert the Cora hypermarkets by the end of 2024. On the other hand, it intends to maintain Match “which enjoys a strong reputation in the north-east of France, alongside Carrefour Market”specifies the group led by Alexandre Bompard. The MDD Carrefour will be available in both stores from September return.
The acquisition of these two brands, which represent 2.4% market share in PGC Frais-LS according to Kantar, should, according to Carrefour’s projections, increase the gross operating result (Ebitda) by 130 M€. “Half of these synergies will be generated by an acceleration of the commercial performance of the stores, following commercial investments, the introduction of the Carrefour branded product range, the development of omnichannel and the deployment of financial and merchant services, indicates the distributor. The other half will come from cost optimizationnotably thanks to gains on commercial and non-commercial purchases, and the pooling of marketing and advertising costs.”
The buyer is counting on an envelope necessary for the integration of 250 M€ between 2024 and 2025 including €150 million operating cost et €100 million of investments.
Verbatim
Alexandre Bompard, Chairman and CEO of the Carrefour group
“With the acquisition of the Cora and Match brands, Carrefour is carrying out its largest transaction in France in over twenty years and consolidating its leadership in food distribution in its domestic market. Cora and Match bring to Carrefour high-quality, profitable assets that are highly complementary to the existing portfolio, and will benefit in return from the reputation of our brand, the power of our own brand, and our growth in e-commerce. I would like to pay tribute to the Bouriez family and the Louis Delhaize group, whose entrepreneurial spirit has constantly driven these magnificent brands and whose torch Carrefour has the honor of taking up. I would also like to salute the commitment and know-how of the 22,000 employees who are joining us today. This transaction once once more demonstrates Carrefour’s ability to implement its virtuous and disciplined external growth strategy, serving its customers, employees, stakeholders, and creating value for its shareholders.”
