Ahold Delhaize to acquire Tesco in the Czech Republic and Slovakia

The food retail sector in the Czech Republic and Slovakia is set for a major takeover. Ahold Delhaize plans to acquire Tesco’s business in both countries, continuing its growth in the region.

Dutch-Belgian retail group Ahold Delhaize (Albert Supermarket and Hypermarket) has agreed to acquire Tesco’s entire business in the Czech Republic and Slovakia. Completion is scheduled for the fourth quarter of 2027, subject to regulatory approval.

With the planned acquisition, Ahold Delhaize aims to strengthen its position in Central and South-Eastern Europe and enter the Slovak market. In the Czech Republic, integrating Tesco’s store network would significantly expand the group’s presence in food retail.

Tesco operates more than 360 of its own supermarkets, hypermarkets and smaller stores across the two countries, as well as over 100 franchise stores. The company employs more than 14,000 people there and generates revenue of around €3.5 billion.

Enterprise value of around €1.2 billion

The transaction is based on an enterprise value of approximately €1.2 billion. The acquisition is to be funded through financing already secured and existing resources.

Larger store network and investments planned

Ahold Delhaize expects the merger to generate significantly higher revenue and synergies. According to the company, these should create additional scope for investment in its customer offering, digitalisation, sustainability and employee satisfaction.

For the integration, the group points to Albert’s experience with acquisitions and converting stores to its own brand. The expanded store network is intended to offer customers a wider range of high-quality, healthy food, modernised stores and new technologies.

Ahold Delhaize chief executive Frans Muller described the planned acquisition as an important step towards strengthening its position in Central and South-Eastern Europe. He said the two companies complemented each other well and had extensive knowledge of local markets. The transaction would also provide access to the attractive Slovak market.

According to its own figures, Ahold Delhaize comprises 17 brands with a total of 384,000 employees and more than 9,500 stores. The group serves over 77 million customers each week in Europe, the US and Indonesia. Online retailer bol is also part of the group.