British retailer Tesco has announced the sale of its business in Poland to Danish retailer Salling Group, for PLN 900 million (£181 million).
This sale follows Tesco’s strategy of withdrawal some of its global positions, similar to the sale of its business in Thailand and Malaysia in March, to focus on its strongest markets.
According to sources, the transaction will include the sale of 301 stores, as well as the distribution centres, and the head office.
Dave Lewis, Chief Executive of Tesco, said: “We have seen significant progress in our business in Central Europe, but continue to see market challenges in Poland. Today’s announcement allows us to focus in the region on our business in the Czech Republic, Hungary and Slovakia, where we have stronger market positions with good growth prospects and achieve margins, cashflows and returns which are accretive to the Group”.
Sources: Tesco Press Release