French retail chain Carrefour said on June 15 that it was selling its stake in a joint venture with Greek group Marinopoulos, taking a 220 million euro loss on the deal. The joint venture operated stores in Bulgaria and other Balkan countries in addition to Greece.
Marinopoulos – which has similar partnerships in place with Marks & Spencer, Gap and Starbucks, paving the way for the brands’ entry on the Balkan markets – will operate the Carrefour stores on the Balkans as a franchisee, with Carrefour providing products in exchange for a fee, Reuters reported.
Carrefour reportedly saw sales in Greece slump 16 per cent in the first quarter. The chain has 41 hypermarkets, 287 supermarkets and 479 convenience stores in Greece and Cyprus.
The exit would prove beneficial for Carrefour, even though it was taking a loss, analysts quoted by Reuters said.]
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