Discount Retail Chain Lidl France (owned by the German Schwarz Group) is believed be interested in acquiring 600 stores operating under the Casino and Monoprix banners in the country, according to media reports.
The discounter has sent a letter, signed by its managing director Kenneth McGrath, to the UK-based investment fund Attestor, outlining a list of 300 Monoprix and 300 Casino stores it would like to acquire, Le Monde reported.
On 15 July, EP Global Commerce a.s., Fimalac and Attestor sent a revised offer to Groupe Casino, which the retailer has decided to discuss, following 3F Holding's decision to bow out of the race to acquire the debt-laden group.
According to a report in the publication LSA, the discounter's interest in acquiring Casino supermarkets is not surprising considering the former's market share.
In the first quarter of 2023, the discount channel reported a 0.4 percentage point increase in market share in France, to hold 11% of the market, according to data from Kantar.
Led by Aldi, which grew its market share to 3.0% during the quarter (a 0.2 percentage point gain), and Lidl, which now sits on 8% (a 0.1 percentage point gain), the discount channel was the fastest growing during the period.
Status Groupe Casino
Groupe Casino reported a 6.6% sales decline in France in the second quarter, after a 4.6% drop in the first three months of the year. Hypermarket sales were down 17.1% in the second quarter on a like-for-like basis, with supermarket sales down 13.9%, the group said.
Its Monoprix arm reported a 2.2% increase in sales, and Franprix was up 4.3%.
The company expects full-year core earnings or EBITDA below €300 million, against an estimate of €440 million in a business plan presented last month.
In 2020, Lidl's main competitor Aldi France acquired all Leader Price stores from Casino in France, see also France: These Leader Price stores changed into Aldi's (discountretailconsulting.com)
Read more: Lidl France Expresses Interest In Acquiring 600 Casino And Monoprix Stores: Reports | ESM Magazine
