Reitangruppen could be poised to take over ICA’s stores in northern Norway, according to press reports.
Transaction involves 108 stores in the north
Ealier in the year, ICA entered into an agreement with Norgesgruppen in order to improve its commercial advantage in the market. However, the deal is pending a decision from the Competition Authority. If the deal is not given permission from the authorities, ICA has threatened to close its stores in the north. Ole Robert Reitan, director of Rema 1000, has stated that if this happens, Reitangruppen will purchase the 108 stores from ICA, using its warehouse in Narvik to serve the area.
Reitangruppen performing well whilst ICA struggles
Reitangruppen is looking to repeat the solid performance from last year. As reported in its full year results, Norway has been an area of concern for ICA as it is not performing as well as its other markets.