AGRAVIS acquires Raiffeisen Markets from RWZ Rhein-Main eG
The documents have been signed, and now it is official: AGRAVIS Raiffeisen AG and RWZ Rhein-Main eG (RWZ) have concluded a comprehensive cooperation agreement for the Raiffeisen Market division. As scheduled, and as authorised by the Federal Cartel Office, AGRAVIS will take over a total of 14 Raiffeisen Markets and the wholesale business in the Market sector from RWZ on 1 July 2017.
The 50 or so outlets remaining with RWZ, which will be run in close connection with the agricultural business, will be supplied with goods via AGRAVIS in future, and will be conceptually supported as part of the Terres Marketing + Consulting GmbH franchise system.
AGRAVIS is strengthening its Market division, which has been growing for years, with this entrepreneurial step. "We are very successful in this segment and are pursuing a clear strategy for growth. This strategy has gotten another boost from the agreement with RWZ Rhein-Main eG. We can further consolidate our market position and, at the same time, leverage synergies that will be created in the areas of procurement and logistics. We will soon be starting with operational implementation, so that we can get started on 1 July as planned," says Andreas Rickmers, Chairman of the Board at AGRAVIS Raiffeisen AG.
RWZ has not reached a strategic size in the retail sector. Christoph Kempkes, Chairman of the Board at RWZ, sees advantages for all parties from the agreement with AGRAVIS: "We are creating synergies and a secure market presence as well as jobs in the region. Clients from primary cooperatives are benefiting from the conceptual strength of AGRAVIS who is very efficient in the Market segment."
In addition, clients will enjoy an attractive shopping experience thanks to AGRAVIS’ planned investment in the locations. The employees in the markets which have been taken over will continue to be employed.
In the Market division (product turnover 2016: €159 million), AGRAVIS has been running 49 of its own Raiffeisen Markets so far – 18 of these through the subsidiary company AGRAVIS Raiffeisen-Markt GmbH, by which the newly acquired Raiffeisen Markets will be run from 1 July onwards. The range focuses on pet supplies, horse riding, gardens, textiles, and DIY. Over 300 Raiffeisen Markets belong to the Terres Marketing + Consulting GmbH co-operative system, a subsidiary of AGRAVIS; they are supported conceptually and provided with comprehensive services, such as site development, marketing, training and further education. Moreover, AGRAVIS will supply around 1000 Raiffeisen Markets with a comprehensive offer of services and products as a wholesale trader. The Raiffeisen online shop, www.raiffeisenmarkt.de is an addition to brick-and-mortar retailing.