Moscow, 3 April 2018 – X5 Retail Group N.V. ("X5" or the "Company"), a leading Russian food retailer (LSE and MOEX ticker: "FIVE"), announces that it has acquired JSC Ufa Grocery. Russia’s Federal Antimonopoly Service has approved the deal.
Under the transaction, X5 has acquired 99 former Polushka stores located in Bashkortostan, including 39 stores in Ufa, four each in Salavat and Neftekamsk, two in Oktyabrsky and one in Sterlitamak. The total floor area of the stores is 65,500 sq m.
The deal gives X5 Retail Group ownership of 59 stores with a total floor area of 44,200 sq m. The remaining facilities are leased under long-term contracts. Nearly all of the acquired stores are due to be integrated into the Pyaterochka chain, with the recently opened distribution centre in Ufa ensuring uninterrupted supplies across Pyaterochka’s operations in Bashkortostan.
This acquisition is fully in line with X5’s development strategy, which is focused on organic growth aided by targeted acquisitions of unique assets. By developing its retail formats and logistics infrastructure in Bashkortostan, X5 promotes the economic development of the region and offers additional benefits to local producers and communities by redefining the modern retail experience.