Organización Soriana, Mexico’s second largest supermarket chain, may potentially acquire rival chain Controladora Comercial Mexicana, the fourth largest chain in Mexico, according to Wall Street Journal. While the company is currently not engaged in any acquisition plans, the company is considering options that would increase its value, said Ricardo Martín Bringas, Soriana’s CEO, during a conference call with investors on Thursday.
The Wall Street Journal reports that analysts are suggesting that an acquisition is unlikely, considering that Soriana has a “slightly larger market capitalization than Comercial Mexicana of MXN 66.85 billion versus MXN 56.27 billion.” However, if a sale is considered, analysts say that Comercial Mexicana may consider selling its business in pieces or sell its grocery store brands while retaining ownership of the real estate assets, so that any potential buyer would be required to pay rent.
Another option considers Comercial Mexicana owners continuing as shareholders in a new entity.
Soriana currently holds an 8% market share of grocery sales in Mexico, while Comerical Mexicana has 3.4% market share with 200 supermarkets.
Stay tuned to AndNowUKnow as we continue following any potential acquisition regarding Comercial Mexicana or Soriana.
Controladora Comercial Mexicana
