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June 22, 2016

E.Leclerc and REWE Group found EURELEC, a joint purchasing company, in Brussels

Strengthening their position in the European retail food trade

The French trading company E.Leclerc and the German REWE Group have established a new purchasing company. The joint venture, EURELEC trading, was listed as a registered cooperative in Brussels in mid-June. The necessary approvals have been granted by the Polish and Austrian competition authorities.

With EURELEC trading, E.Leclerc and the REWE Group will strengthen and develop their position in the highly competitive area of the European retail food trade. In the future, EURELEC trading will be responsible for negotiations and purchasing in the international retail food industry for trade companies E.Leclerc and REWE Group. EURELEC trading will also serve operational synergies between E.Leclerc and REWE, as part of the alliance between the two companies.

Before being called to his new role, EURELEC trading Management Board Member, Jean-Marie Malbranke, based in Brussels, was Head of the Management Division at REWE Group purchasing. The Board of Directors of EURELEC trading will be equally staffed from both companies, with two managers from the REWE Group and two from E.Leclerc: Jan-Peer Brenneke, Own-Brand Managing Director in Purchasing & Development National/International, and Jochen Baab, Executive Director of Goods at the REWE Group Buying GmbH, represent the REWE Group.

E. Leclerc and the REWE Group are to continue negotiations on an international scale within Coopernic, together with Delhaize and Coop Italia.

The cooperatively organised REWE Group is one of the leading trade and tourism groups in Germany and Europe. In 2015, the company generated a total external turnover of over 52.4 billion euros. Founded in 1927, REWE Group operates 15,000 stores with 330,000 employees in 20 European countries. In 2015, around 232,000 employees generated turnover totalling 38.2 billion euros in approximately 10,000 stores in Germany.

Sales lines include REWE, REWE CENTER, REWE CITY and BILLA supermarkets and consumer stores, the discounter PENNY as well as the toom and B1 Discount Baumarkt DIY stores. REWE also operates a chain of organic supermarkets (TEMMA), innovative convenience stores (REWE To Go), the gastronomic concept "Oh Angie!", e-commerce activities such as the REWE delivery service, Zooroyal online pet store and the online wine sellers Weinfreunde and Kölner Weinkeller. REWE's travel and tourism sector, under the umbrella of DER Touristik, includes the tour operators ITS, Jahn Reisen and Travelix, as well as Dertour, Meier's Weltreisen, ADAC Reisen, Kuoni, Helvetic Tours, Apollo and Exim Tours. The business travel division FCM Travel Solutions, more than 2,400 travel agencies (e.g. DER Reisebüro, DERPART, Kuoni), the hotel chains lti hotels, Club Calimera, Cooee and PrimaSol Hotels and the direct tour operator also fall under REWE's purview.