Eurocash with a PLN 350 mln deal to buy Mila chain

WSE-listed FMCG distributor Eurocash signed a PLN 350 million contract for the takeover of supermarket chain Mila. “The acquisition of Mila, just as the acquisition of the EKO supermarket chain in January 2017, is part of the strategy of building a nationwide supermarket chain based on cooperation with franchise partners as well as running Eurocash’s own stores in order to support chain development in new regions of the country,” the company said in a market filing. The deal will exclude selected real estate properties. Back in April, Eurocash signed a letter of intent to buy 100 percent stake in Mila from Argus Retail Holding, Elbrus investment fund, Robert Kasner, Robert Zaleski, and Stanislaw Sosnowski. At the end of 2016, Mila's network operated 188 branches. Mila's sales in 2016 amounted to PLN 1.49 billion and EBITDA amounted to PLN 4.8 million.