Alimentation Couche-Tard Inc., headquartered in Laval, Quebec, has set its sights on acquiring Zabka Group, a Polish convenience store operator, after previous unsuccessful attempts to purchase a French grocer and a major global convenience store chain. Couche-Tard has proposed a takeover valued at over $12 billion for a controlling stake in Zabka, valuing each share at 32 Polish zloty, approximately $11.90 Canadian dollars.
This potential deal, if successful, would mark Couche-Tard’s largest acquisition to date, aligning with its strategic goal of significantly expanding its presence. Zabka, which operates over 13,000 convenience stores in Poland and Romania, presents a lucrative opportunity for Couche-Tard, which boasts 17,300 stores across 27 countries, including nearly 400 in Poland.
Both companies share similarities in their offerings, with a focus on beverages, snacks, and hot food items. Zabka, known for its quick-serve meals and autonomous locations, contrasts with Couche-Tard’s emphasis on beverages and fuel, as the majority of its stores feature gas stations, a service not provided by Zabka.
Couche-Tard’s CEO, Alex Miller, emphasized the synergies between the two companies, highlighting their shared commitment to customer service. The proposed acquisition is expected to generate approximately $250 million USD in cost savings within three years of completion. The decision to pursue Zabka follows years of consideration, with Couche-Tard executives, including founder Alain Bouchard, expressing interest in the company for over a decade.
The transaction is subject to regulatory approvals and is anticipated to be finalized by December. The outcome will depend on the acceptance of the offer by Zabka shareholders. Should Couche-Tard secure at least 95% of the total voting rights in Zabka, it will proceed to delist the company from the Warsaw Stock Exchange, where it went public two years ago. The integration of Zabka into Couche-Tard’s operations remains under consideration, with plans to optimize the benefits of the acquisition.
Market analysts view Couche-Tard’s move as a strategic advancement that aligns with its long-term growth objectives. Irene Nattel, an analyst at RBC Capital Markets, commended the proposed acquisition as both bold and measured, noting its potential to drive significant value for Couche-Tard and its stakeholders.