The launch on online shopping and home delivery by retailer Tesco in Prague at the start of the year has been a bigger success than the company expected, according to a statement accompanying its group results. The Czech capital was picked as the first in Central Europe for the experiment with dot.com sales soon to be rolled out in Warsaw.
Penta Investments is in final negotiations to buy a large engineering firm in Germany, with the Czech/Slovak private equity group looking to invest an initial €100 million to €200 million, Hospodářské noviny reports. The cash-rich group is also looking to acquire a Polish retail company in a deal of comparable size.
The Czech Office for Protection of Competition (ÚOHS) on March 2 approved UK retailer Tesco’s acquisition of a Czech portfolio of 81 Žabka convenience stores along with 47 Koruna-brand Czech supermarkets from Penta Investments for Kč 1.02 billion. Following the decision Žabka and Koruna’s owner PR officially belong to Tesco Holdings.
Czech-Slovak private equity group Penta Investments announced Friday it has signed an agreement to sell the Polish convenience store chain Zabka Polska to Mid Europa Partners, an independent private equity firm focused on Central and Eastern Europe that advises and manages funds worth €3.2 billion. The price of the acquisition was not made public, but is reportedly around €400 million.
The fate of Žabka has seen significant speculation over recent months. Would the company go public? Would Penta keep it? Who was bidding for it? A partial answer finally arrived as the brand’s Czech stores were sold to Tesco in the UK retailer’s bid to expand throughout the region, partially in response to the slowdown on its domestic market.