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Indotek Group Achieves Full Ownership of Auchan Hungary

In a significant strategic move, Indotek Group has announced the acquisition of the remaining 53% stake in Auchan Hungary. This acquisition marks an important milestone in Indotek's long-term partnership with Auchan Retail International. Having been operationally responsible for Auchan Hungary for the past 18 months, Indotek is now set to fully control the operations of this major retail player in Hungary.

Transition to Full Ownership

This decision to move towards full ownership is rooted in the substantial progress made during the operational control phase. Under the leadership of Dániel Jellinek, the CEO of Indotek Group, the company has implemented management strategies that have positively influenced Auchan Hungary's performance. Jellinek stated, "Moving to full ownership is the logical next step in our long-term strategic partnership. We are confident in Auchan Hungary's business and proud of the improvements that the team has made over the past year and a half."

The acquisition allows Auchan Hungary to continue its day-to-day operations without any disruption. All customers, employees, and partners can expect a seamless transition as the company builds on its established relationships while enhancing its market presence. Furthermore, Auchan Hungary secured financing from Erste, Raiffeisen, and UniCredit, creating an independent funding structure that removes reliance on previous internal funding from Auchan Retail International.

Strengthening Local and Operational Ties

Despite the ownership change, Auchan Hungary will maintain its essential links to the international network of Auchan Retail, ensuring access to a wide range of products through long-term contracts. This includes secured procurement of merchandise and participation in purchasing alliances, which will help enhance the overall customer experience.

Indotek plans to deepen its engagement with local suppliers, further supporting the Hungarian market and fostering local production partnerships. This strategy aligns with Indotek's commitment to provide improved offerings to its customers while nurturing the local economy. The emphasis on strong supplier relationships and operational improvements aims to position Auchan Hungary as a leading player in the retail market.

Future Directions

Indotek Group specializes in revitalizing underperforming properties and assets, and its focus on sustainable growth and long-term value creation will now extend to Auchan Hungary. As Indotek takes full control, it is committed to preserving Auchan Hungary's benefits from its association with Auchan Retail International while enhancing its offerings to meet customer needs effectively.

Guillaume Darrasse, CEO of Auchan Retail, praised Indotek's role, highlighting that they have been a responsible partner throughout the transition period. This relationship is expected to continue delivering value to both parties as they navigate the changing retail landscape together.

About Indotek Group and Auchan Hungary

Headquartered in Budapest, Indotek Group develops a diversified portfolio of over 350 properties across various sectors, including retail and commerce. Auchan Hungary operates a network of 19 hypermarkets, several supermarkets, and a large-scale online store, contributing significantly to the local retail environment. With recent annual revenues estimated at approximately EUR 1.5 billion, Auchan Hungary is well-positioned for continued growth under its new ownership.

As Indotek officially assumes full ownership of Auchan Hungary, the company looks forward to a transformative phase, capitalizing on its operational successes and enhancing its market position while providing exceptional value to Hungarian consumers.