A large retail chain in the Czech Republic is changing hands. The authority has already issued approval

The large retail chain Hruška, which operates retail stores mainly in Moravia, is changing owners. The Office for the Protection of Economic Competition (ÚOHS) approved the acquisition of the company by Central European Retail Holding (CERH), which is a subsidiary of the Hungarian investment group Oriens.

Acquisition without a negative impact on the market

According to the ÚOHS, the merger of the two companies will not have a negative impact on economic competition on the food and drugstore market in the Czech Republic. The decision of the office is final.

CERH operates in the field of retail and wholesale sales of goods of daily use, such as food, drugstores, personal hygiene products, household goods and hosiery. In the Czech Republic, through the acquisition of Flosman in 2023, it acquired exclusive control over Pramen CZ and also manages the franchise network of Flop, Potravyny CZ and Flop Top retail stores.

Hruška with 422 stores is changing hands

Hruška operates a total of 422 retail stores, mostly in Moravia. The current owners of the chain are Pavel Hruzík (40% share), Jana Škrabalová and Jarmila Plevová (both 30% each).

Exact details regarding the acquisition, such as the purchase price or the completion date of the transaction, have not yet been disclosed. We are expected to hear about them in the coming weeks.

It is not yet clear what impact the change of ownership will have on the employees of the Hruška chain. CERH stated in a press release that it intends to “respect existing labor relations” and “develop the activities of Hruška in accordance with its own strategy”.

Photo: Shutterstock

A change in context

The acquisition of Hruška by CERH is another example of consolidation in the food and drugstore market in the Czech Republic. In recent years, there have been a number of acquisitions where smaller chains have been bought by larger players, such as Kaufland, Tesco or Albert.

Conclusion

The change of owner of the Hruška chain is a significant event on the Czech food and drugstore market. It’s not yet clear what impact this will have on consumers and employees, but expect to learn more in the coming weeks.

Photo: Mojehruska, source: UOHS, Hospodarskenoviny