Slovenia’s foremost retail giant, Mercator, has officially sealed a significant agreement on November 15th, solidifying its takeover of the rival company Tuš. Although the precise financial terms remain undisclosed, various media outlets have estimated the deal’s value at around €30 million.
The focal point of this transaction revolves around Mercator gaining full ownership of Engrotuš, which constitutes the retail and wholesale operations of Tuš. The Tuš brand, initially founded as a family-run enterprise decades ago, has encountered challenges in recent years.
It’s important to note that this acquisition is contingent upon receiving regulatory approval. If authorised, the combined force of Mercator and its Croatian parent company, Fortenova, will wield substantial control, claiming approximately 35% of Slovenia’s retail market.
Presently, Mercator already commands a formidable market share, contributing around 25% with an extensive network of approximately 460 stores. On the other hand, Engrotuš boasts a 10% share and operates roughly 260 stores.
Notably, Mercator and Fortenova succeeded in outbidding Germany’s retail heavyweight, Rewe, to secure the acquisition of Engrotuš. Fabris Peruško, the CEO of Fortenova, expressed his dedication to the Slovenian market, affirming that this takeover aligns with their prior commitments, particularly following their integration with Mercator in 2021.
Peruško went on to state that this strategic move further cements their status as the most prominent regional retail network. He emphasized that the merger with the Tuš retail network represents the second major expansion within a remarkably short timeframe this year, following the acquisition of the Franca chain in Montenegro. Importantly, it signifies enhanced stability for employees and suppliers.
Representing the sellers, Tuš Holding and AH Invest 1, Andraž Tuš, head of the Tuš group, remarked that after several months of negotiations, they chose the buyer they believed would serve the best interests of their employees, business partners, and the overall development of the core business. This acquisition underscores Mercator’s dominant position in the evolving Slovenian retail landscape.