DLA Piper advises the founders of the retail chain Arhelan on the sale of 49% of its shares to Poland's Eurocash
DLA Piper has advised the founders of retail chain Arhelan, which operates over 100 shops in north-eastern Poland, on the sale of a 49% stake to leading Polish wholesaler Eurocash.
The agreement concluded by the parties includes that at a later date Eurocash will acquire an additional 1% stake in Arhelan, thus increasing its stake to 50%. The agreement also defines the rules of Arhelan’s further cooperation with the Eurocash Group, including the target operation of Arhelan within the franchise structures of the Delikatesy Centrum chain under the logo of Polskie Sklepy Arhelan and Delikatesy Centrum.
The transaction is subject to a number of conditions, including the consent of the President of the Office of Competition and Consumer Protection.
Arhelan is one of the largest regional supermarket chains in Poland, operating in the Podlaskie, Mazowieckie, Lubelskie and Warmińsko-Mazurskie provinces. Arhelan has been operating in this market since 1991 and employs nearly 2,000 people with its sales revenues exceeding PLN500 million in 2020.
With this transaction, Eurocash gains a partner for the joint development of a retail network in north-eastern Poland. Support from the largest wholesale food distributor in Poland, as well as its experience and know-how, will enable faster development of the Arhelan chain of stores.
DLA Piper’s Warsaw-based Corporate team was led by partner Jakub Marcinkowski and counsel Rafał Kluziak, who were assisted by associate Michał Banasiak. Senior associate Agata Koczorowska advised on the real estate aspects of the transaction.