Loading tweets...
Migros, the Swiss retail cooperative, has announced it is withdrawing from the German market to focus on its domestic operations.
As part of the strategic realignment, the company has signed an agreement with Edeka, the German retail group, for the takeover of a substantial part of the Tegut Group. The transaction includes a significant portion of the store portfolio, the Michelsrombach logistics centre, the Herzberger bakery and Smart Retail Solutions, which operates automated Teo locations. Migros stated it is in advanced negotiations with other market participants regarding remaining sites to ensure sustainable solutions for employees and customers.
The decision follows a strategic review amid a worsening market environment in Germany. According to the company, while cost-saving measures reduced Tegut’s operational losses by more than half last year, its relatively small size and specific positioning made it unsustainable in the long term.
Patrik Pörtig, Migros managing director, commented: “The decision to sell Tegut was extremely difficult for us. However, the analysis clearly showed that a complete sale under current market conditions offers the best long-term perspective for all involved”.
The purchase price remains confidential. The deal is subject to approval by the Federal Cartel Office. Financial impacts will be detailed in the 2025 annual report, scheduled for publication on 24th March.
Source: Migros
