Casino Group has completed the sale of 545 Leader Price stores, 2 Casino supermarkets and 3 warehouses, to ALDI France for € 717 million (including an earn-out of up to €35 million).
”The sale of Leader Price to ALDI a major player in the discount retail segment, is fully in line with the Group’s transformation plan which was launched in 2018. Casino group will now fully focus on its most buoyant formats, e-commerce, premium and convenience, and on its new high-growth energy and data businesses,” said Jean-Charles Naouri, Casino group’s Chairman and CEO.
”After taking into account €34 million of net liabilities transferred with the stores, disposal proceeds reach €683 million of which €648 million received today, and up to €35 million earn-out which will be paid in the event of compliance with certain operational indicators during a transition period”, said in a statement. ”Furthermore, Casino group may sell additional Leader Price stores in the short term to ALDI, for an amount of up to €11 million.”
The agreement includes a transition period, running throughout 2021, during which the Casino group will manage the day-to-day operations until the stores are progressively converted to the ALDI banner.
Casino group remains the owner of the Leader Price brand and will continue to operate it in France and internationally, under certain conditions agreed with ALDI. The Group will keep its profitable wholesale activity for 200 Leader Price franchise stores, and external or internal clients (Franprix, Casino Géant and Casino supermarkets).