Tuesday, September 07, 1999
Royal Ahold, the food retailer, has acquired the Mercasol and Las Postas supermarket companies in southern Spain. The chains are ideally located on the Costa del Sol and draw shoppers from both the local community and from the millions of tourists who flock to the region every year. The acquisitions bring the number of Ahold supermarkets in Spain to about 200, with annualized sales approaching 400 million.
Mercasol
Ahold bought the six Mercasol supermarkets, with sales of approximately 20 million, from Punta de la Plata. Located in Marbella, they are highly popular with locals and tourists alike. The stores have an average selling space of 950 sq.m. (approximately 9,500 sq. ft.), larger than most Spanish supermarkets. They are renowned for their comprehensive assortment of food items, the quality of their fresh products and the wide range of international offerings with special tourist appeal.
Las Postas
The four Las Postas supermarkets Ahold has acquired have sales of approximately 15 million. Located along the Costa del Sol between Marbella and Fuengirola, they too are popular with tourists and the local community. The stores have an average selling space of 800 sq.m. (approximately 8,000 sq.ft.) and are particularly appreciated for their service.
Comment by Jan Andreae, Ahold Board member
We are delighted to have the opportunity to transfer our know-how and economies of scale to customers in the Costa del Sol. It is one of the worlds most attractive locations, Jan Andreae, Ahold Corporate Executive Board member, said in a statement. We plan to pass on the benefits accruing from our increasing critical mass in Spain to all our customers. Top value for money and a broad choice of high quality fresh food really count in Spain. We are proud to be a part of this culture and see many opportunities for further growth. Our local management and associates are committed to personal service and to meeting customer wishes.
Ahold in Spain
Once the transactions are completed, Ahold will operate seven supermarket companies in southern Spain and the capital Madrid.
In the southwestern city of Sevilla, 96 Cobreros supermarkets with sales of 185 million;
In Malaga, to the east of Marbella further along the Costa del Sol, 35 Dumaya supermarkets and seven Castillo del Barrio stores with combined sales of over 80 million;
In Granada, north of Malaga, 21 Guerrero stores with sales of 41 million;
In Madrid, 17 Longinos Velasco supermarkets, also with sales of 41 million;
And in Marbella, the six Mercasol and four Las Postas stores with combined sales of 35 million.
The Ahold supermarket chains in Spain are highly competitive and gradually reaping the benefits from cooperation in sourcing, IT, marketing, training, store operations, logistics and distribution. Ahold has stated previously that its expansion in Spain is aimed at becoming a national player with operations in the densely populated regions of the country. Further acquisitions are to be expected.