Tesco PLC (LON:TSCO) is retreating from Poland in the face of ongoing market challenges, with a sale agreed for a net 819mln Polish zlotys (£165mln).
The buyer is Demarks Salling Group, which will take over and rebrand Tesco Polskas 301 stores, distribution centre and head office in Kraków.
Having opened its first supermarkets in Poland in 1995, with a first megastore added in the city of Wrocław, store numbers eventually peaking at 450 two decades later before the tide turned away from its out-of-town big boxes and amid reports of staff dissatisfaction with its low salaries.
Last year the stores reported an underlying operating loss of £107mln on sales of £974mln.
Tescos chief executive Dave Lewis, who is due to step down in October, said: “We have seen significant progress in our business in Central Europe, but continue to see market challenges in Poland.
“Today's announcement allows us to focus in the region on our business in Czech Republic, Hungary and SlovaRead More – Source