Romanian convenience store chain AuGust is negotiating to buy 87 Profi and Mega Image stores from Ahold Delhaize in Romania.
The sale of the stores is a requirement placed by Romania’s Competition Council on Ahold Delhaize, following the Dutch retailer’s purchase of the Profi chain.
The Pronto August business, co-owned by local businessman Gabriel Sandu, currently operates 11 AuGust convenience stores in Bucharest.
Sandu told local news portal Economica.net that negotiations with Mega Image are ongoing, but still in the early stages. He referenced a past deal in 2015, when Mega Image offered three stores, to avoid antitrust concerns.
Sandu said that he hoped that this deal would promote competition in the Romanian market. He confirmed the group’s interest in strategically located stores aligning with its operational model and expansion plans – criteria largely met by the 87 stores under consideration.
Sandu previously owned and sold a large network of mobile phone stores to Vodafone. His company was also Carrefour’s largest franchisee, operating 15 Carrefour Express stores until ten of them were sold to Profi Rom Food in 2021.
‘Strategic’ Decision
“The decision to sell our stores to Profi in 2021 was strategic, dictated by the context at the time, related to the Covid-19 epidemic and short-term business objectives,” he commented. “In the meantime, we realised that there was a major opportunity to build a proximity network that would emphasise quality, flexibility, and local adaptation – values that are not always prioritised by large chains.”
According to Sandu, the plan is to expand nationwide, investing millions of euro in the coming years, to reach a goal of 100 stores. AuGust is seeking stores ranging from 150 to 300 square metres in residential or high-traffic areas in densely populated cities and prime locations.
AuGust stores stock around 4,000 SKUs, with a core 500-item selection common to all locations.
AuGust is projecting over 20% revenue growth in 2024, compared to 2023, which amounted to RON 34 million (€6.8 million), driven by expanded services and the addition of one store.
