Ahold agrees Disco sale
Chilean retailer Cencosud to buy Argentinean chain
March 6 2004
Ahold has agreed the sale of its Argentinean supermarket business Disco to Chilean retailer Cencosud.
The deal complete a week of disposals for the Netherlands supermarket giant, which is scaling back in order to focus on core operations.
The sale of Disco copems in te wake of the sale of Ahold’s stake in its Thai retail operation, CRC Ahold to local operator Central Group, completing its withdrawal from the Asian market, and Wal-Mart’s acquisition of Ahold’s Bompreco supermarket chain in Brazil.
The latest deal is subject to local regulatory approval and the lifting of court orders in Argentina and Uruguay relating to the sale of Disco shares. Ahold hopes to complete the sale before the end of the year.
Cencosud operates in Chile and Argentina, and has 12 hypermarkets and 23 DIY stores in Argentina. It acquired Ahold’s stake in Chilean supermarket chain Santa Isabel in July 2003.
Disco operates 236 stores in Argentina and has around 14,700 employees. Its 2003 sales were around €708m.
Theo de Raad, Ahold corporate executive board member responsible for Latin America and Asia, said: “Ahold is very pleased to have reached agreement with Cencosud on the terms of the sale of these operations. We are confident that Cencosud will continue the tradition of excellence and service for which Disco is known.”
