Belgian retailer Delhaize says to shed 155 US stores

29th May 2013, Comments 1 comment

Belgian international food retailer Delhaize said on Tuesday it was selling 155 of its stores in the United States as it seeks to consolidate its business.

The deal, worth $265 million (206 million euros) will see Delhaize divest 155 shops to Bi-Lo Holdings, which will also acquire the leases for 10 previously owned locations.

The 165 stores in question generated sales last year of approximately $1.8 billion, Delhaize said in a statement.

"We believe this transaction represents a significant move towards simplifying our business," said Delhaize's chief executive Pierre-Olivier Beckers.

"This transaction will further increase the financial flexibility required to execute our strategic priorities," he added.

The deal is subject to regulatory approval.

Delhaize, which has a presence in 10 countries worldwide and roughly 158,000 employees, posted sales of $29.0 billion in 2012, with a net profit of $134 million.

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© 2013 AFP

1 Comment To This Article

  • Stoffel posted:

    on 30th May 2013, 08:05:59 - Reply

    If Delhaize quality and dirty tricks are the same in the USA as in Belgium, then it is only surprising they lasted a month there.