Premium supermarkets: Gourmet game plan

Premium supermarket chain BOMI has received a green-light from the Office of Competition and Consumer Protection to form a BOMI capital group. The move will see the merger of BOMI and retailer RAST, as well as the purchase of at least 80 percent of shares in distributor Rabat Pomorze. According to BOMI, this will give rise to the largest chain of upmarket grocery stores in Poland.

"We plan to create a strong capital group to manage a network of premium supermarkets and to supervise a strong logistical and information infrastructure as well as oversee strong marketing support," said Stanisław Okonek, president of BOMI. He added, "The process of consolidating the Polish retail market is proceeding dynamically and we fully intend to take part in it."

BOMI signed letters of intent with the two firms in December 2007. RAST, a chain of shops in the Warmińsko-Mazurskie voivodship, controls around 20 premium supermarkets sized from 700-3,500 sqm. The firm also owns the Triada bakery and poultry processor Hermes-Bis.

Rabat Pomorze is a grocery distributor with its headquarters located in Pruszcz Gdański, in the Pomorskie voivodship. The firm also operates the Sieć 34 chain of franchised retail shops.

Once the consolidation process has been completed - which is planned for this year - the BOMI group will comprise around 50 premium supermarkets and 1,450 franchise shops. In 2009, the group plans to have approximately 100 upmarket grocery stores.

According to Polityka weekly's December 2007 "Hypermarket and Premium Supermarket Ranking," BOMI was ranked in first place among its peers, with Alma and Piotr i Paweł in second and third places, respectively. The ranking was based on a comparison of prices and quality of service.

In 2007, BOMI's revenues from sales amounted to zł.489 million and its net profit was zł.17.02 million, marking y/y increases of 29 and 89 percent, respectively. The firm debuted on the WSE in August of last year.