ADVERTISEMENT

Indotek to acquire 47% stake in Auchan holdings in Hungary

Deals

Image by Peter Gudella / Shutterstock.com

Hungarian property developer Indotek has agreed to acquire a 47% stake in the local units of Elo, the holding company of French retailer Auchan, Elo's Hungarian businesses said, according to a report by state news wire MTI.

Under the deal, Indotek will become a minority financial investor in Auchan Retail Magyarország and Ceetrus Magyarország.

The transaction presents "opportunity for further development" for the Elo businesses, the holding company says. For Indotek, it is "an important element of strategic cooperation" and could "raise diversification to a new level".

The deal must still be cleared by the competition authority.

Indotek and Elo announced in September they were in talks on strengthening their cooperation, possibly through the acquisition of a minority stake in the retailer's local unit.

Indotek Group owns a number of shopping centers with Auchan store anchors.

ADVERTISEMENT

Household income improved in Q1 Analysis

Household income improved in Q1

Ministers in new Orbán gov't sworn in Parliament

Ministers in new Orbán gov't sworn in

Supporting Diversity and Sustainability, Pushing Electromobi... Interview

Supporting Diversity and Sustainability, Pushing Electromobi...

Airport bus fare could rise to HUF 1,500 City

Airport bus fare could rise to HUF 1,500

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.