Dutch retail giant completes shop takeover in Czech Republic

Dutch supermarket group Ahold has completed the takeover of 56 stores of its Austrian competitor Julius Meinl in the Czech Republic, local media reported on Tuesday.

It is Ahold' first takeover since the company's huge accounting scandal in February 2003, which was partly a result of earlier acquisitions.

Ahold, the world's third-largest retailer, has since the scandal concentrated on selling off subsidiaries in South America and elsewhere.

The concern, which is relocating its headquarters from Zaandam to Amsterdam on Oct. 10, will take over 56 of the 67 Czech shops it had set its sights on in August. Eleven of the outlets fell short of the conditions set by Ahold. This brings the number of supermarkets owned by Ahold in the Czech Republic to some 300.

According to Dutch newspaper NRC Handelsblad's report, a spokesperson for Ahold did not disclose the amount paid for the chain. Last year the total turnover of the 67 Julius Meinl supermarkets came to 140 million euros.

The acquired supermarkets will be renamed "Albert," the name under which Ahold operates in the Czech Republic, Slovakia and Poland.

Ahold's turnover in Central Europe totaled 1.7 billion euros last year. The company is hoping that this takeover will further consolidate its position in Central Europe, where it currently owns some 500 stores.

The Czech Competition Authority already approved the takeover in September.

Source: Xinhua