Uri Waterman (right) CEO of Shufersal Group and Amit Zeev, who will head the joint company. They will bring SPAR to Israel (Photo: Public Relations)
Carrefour and Saban Ilvan are not alone: Shufersal signed a memorandum of understanding to establish a SPAR chain in Israel with an investment of tens of millions of shekels.
Shufersal will join as a shareholder a corporation controlled by Amit Zeev, which will enter into a license agreement with SPAR, which will include, among other things, the right to establish SPAR stores in Israel as well as the right to import and market products under the SPAR private label
according to the memorandum of understanding - the intention is to open at least 10 branches in Israel in the next three years and sell SPAR products exclusively in Shufersal stores in the various formats in addition to selling them in the new independent SPAR network.
Amit Zeev will serve as CEO of the joint company. The agreement is subject to the approval of SPAR Global and the approval of the Competition Authority
Expected worldwide turnover within two years: 50 billion dollars
Is the intention to give back to other international retail brands that have entered or intend to enter Israel in the near future?
According to Shufersal's announcement: "Shufersal continues to expand and takes another step in investing in its growth engines."
As mentioned, according to the memorandum of understanding, the group intends to establish a joint company with Amit Ze'ev, who represents the international SPAR chain based in the Netherlands, and will serve as the company's CEO.
The joint company will have the right to import over 10,000 SPAR brand products marketed in 48 countries around the world, To develop a variety of local private label products under SPAR that meet the brand's standards and will have the right to trade in the products it has developed with other SPAR partners in the world.
All this, in addition to Shufersal's private label of approximately 5,900 products. Shufersal's private label sales make up approximately 26.7% of total sales Food retailing (as of the third quarter of 2022).
Uri Weterman CEO of Shufersal Group
: "Shuppercell is examining and promoting a number of growth engines, one of which is cooperation with an international chain. Global SPAR products will be marketed at fair prices that are significantly lower than the norm in Israel, thus contributing to lowering the cost of living in Israel."
Amit Zeev
said: "In recent months, I have been involved in forming the group of partners who together will establish the SPAR chain in Israel. I have conducted negotiations with several retail chains in Israel and SPAR is the largest and most professional and I am happy and proud of the partnership.
I am confident that together we can bring about a real change, give the customer a new shopping experience that includes the quality of products and service that we all know from Europe alongside prices that surprise every Israeli when visiting a supermarket across the continent.
SPAR is an international retail chain originating in the Netherlands that operates in 48 countries around the world.
The launch of the chain in Israel will be established under a franchise agreement and the memorandum of understanding with Shufersal will allow it to open branches in Israel and purchase thousands of products of the private brand SPAR.
The chain operates in a model of local partners, in 13,623 stores worldwide serving 14.5 million customers every day, with an annual sales turnover in 2021 of approximately 41.2 billion euros.
Its annual growth rate stands at an average of 5.1% and according to the forecasts of the global SPAR, the chain is expected to reach a sales turnover of 50 billion euros in 2025.
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Shufersal
Uri Wetterman
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