The demerger of Metro Cash & Carry and the consumer electronics business has been completed, creating two separate companies.
Separate areas of expertise
The wholesale and food retail business, which consists of Metro/Makro Cash & Carry and Real hypermarkets, will now be considered as Metro. The consumer electronics business, which consists of Media Markt and Saturn will now be called CEconomy. It is Europe's biggest consumer electronics company, with more than 1,000 stores across 15 European countries and sales of €22bn ($25bn) in the 2015/2016 financial year.
Two stronger businesses
It is expected that by splitting the two businesses, it will allow each business to concentrate on its core competencies and create two stronger, more focused businesses. It is also hoped that the move will allow each company to pursue more acquisitions. Metro's Cash & Carry business has already been acquiring businesses to help strengthen its proposition, buying Pro a Pro from Colruyt in Belgium last year, and Singapore based Classic Fine Foods in 2015. Further acquisitions in key specialities and markets should help strengthen its strong global position further.