17 Oct 2023 12:12

Lenta acquires regional retail chain Monetka

MOSCOW. Oct 17 (Interfax) - Lenta IPJSC , a major Russian retailer, has acquired regional retail chain Monetka, which operates 2,120 stores, the company reported.

The price of the deal was not disclosed. Lenta LLC acquired 99.999% of RM Group, the parent company of the Monetka chain. The transaction was financed using both Lenta's own and borrowed funds, the company said.

Monetka increased revenue by 29% to 177.8 billion rubles in 2022, and the company's revenue and LfL sales grew by, respectively, 16.8% and 8.7% in the first half of 2023.

The Monetka chain has total selling space of 606,000 square meters and most of its stores are located in the Urals and Western Siberia. The transaction includes five distribution centers with a total area of 116,000 sqm, as well as over 560 trucks.

Lenta said the Monetka business will keep operating as a standalone legal entity, with its key operating processes intact and the stores retaining their existing brand identity. Furthermore, existing Mini Lenta stores will adopt the Monetka brand.

"This transaction gives us instant access to a network of over two thousand stores with an established customer base, skilled personnel, and a recognised brand. It will provide a fresh impetus for the Group's growth, further solidifying our position in the regions and expanding our market share in the Russian food retail," Lenta board chairman Alexei Mordashov was quoted as saying in the press release.