Alimentation Couche-Tard Inc., based in Laval, Que., has set its sights on acquiring Zabka Group, a Polish convenience store operator, following unsuccessful attempts to acquire a French grocer and a major global convenience store chain. Couche-Tard has made a bid exceeding $12 billion for a controlling interest in Zabka, valuing the offer at 32 Polish zloty per share.
If the deal goes through, it would mark Couche-Tard’s largest acquisition to date and align with its strategic goal of expanding its business significantly. Zabka, named after the Polish word for frog, operates over 13,000 convenience stores in Poland and Romania, while Couche-Tard boasts 17,300 stores across 27 countries, with nearly 400 stores in Poland.
Both companies share similarities in their product offerings, focusing on a wide range of beverages, snacks, and hot food items. Zabka emphasizes quick-serve meals, with some locations operating autonomously, while Couche-Tard’s emphasis is on beverages and fuel, with the majority of its stores featuring gas stations, unlike Zabka.
Couche-Tard’s CEO, Alex Miller, highlighted the complementary strengths and shared customer-centric ambitions of the two companies. The proposed transaction is expected to yield approximately $250 million in cost savings within three years of closing. The idea of acquiring Zabka had been on Couche-Tard’s radar for over a decade, with founder Alain Bouchard advocating for reconsidering the target.
The deal has garnered support from key stakeholders, including Zabka’s incoming CEO, Tomasz Blicharski, as well as major investors in the company. Regulatory approvals are pending, with the transaction anticipated to finalize by December. Depending on shareholder response, Couche-Tard may acquire full control of Zabka and potentially delist the company from the Warsaw Stock Exchange.
Analysts view the acquisition as a strategic move that aligns with Couche-Tard’s growth strategy and long-term objectives. Irene Nattel, an analyst at RBC Capital Markets, commended the proposed acquisition as a bold yet measured step towards advancing Couche-Tard’s business goals.