Company Announcements

X5 COMPLETES INTEGRATION OF 85 RITM-2000 STORES

Source: RNS
RNS Number : 1458X
X5 Retail Group N.V.
26 April 2019
 

X5 COMPLETES INTEGRATION OF 85 RITM-2000 STORES

Moscow, 26 April 2019 - X5 Retail Group N.V. ("X5" or the "Company"), a leading Russian food retailer (LSE and MOEX ticker: "FIVE"), announces that it has completed implementation of an agreement with RITM-2000 to open stores in the retail premises occupied by the latter in the central part of Russia.

As part of the deal, X5 obtained the long-term lease rights to 85 stores previously operated under the Telezhka, Tverskoy Kupets and Volny Kupets brands. The retail premises are located in the Tver (70 stores), Smolensk (7 stores), Novgorod (6 Stores) and Pskov (2 stores) regions and boast a total selling space of 42,000 sq m.

The Pyaterochka proximity format has integrated 81 of the stores, and the remaining four are operating under the Perekrestok brand.

This deal is fully in line with X5's development strategy, which seeks to combine organic growth with tactical M&A, targeting lease agreements for a pool of high-quality retail premises. The central part of Russia is one of the key regions for X5. The Company's presence in these markets contributes to economic growth and offers additional benefits for local suppliers and communities by redefining the modern retail experience and creating new jobs.



Note to Editors:

X5 Retail Group N.V. (LSE and MOEX: FIVE, Fitch - 'BB+', Moody's - 'Ba1', S&P - 'BB', RAEX - 'ruAA') is a leading Russian food retailer. The Company operates several retail formats: the chain of proximity stores under the Pyaterochka brand, the supermarket chain under the Perekrestok brand and the hypermarket chain under the Karusel brand.

As of 31 March 2019, X5 had 14,779 Company-operated stores. It has the leading market position in both Moscow and St Petersburg and a significant presence in the European part of Russia. Its store base includes 13,917 Pyaterochka proximity stores, 771 Perekrestok supermarkets and 91 Karusel hypermarkets. The Company operates 41 DCs and 3,837 Company-owned trucks across the Russian Federation.

For the full year 2018, revenue totalled RUB 1,532,537 mln (USD 24,439 mln), Adjusted EBITDA reached RUB 109,871 mln (USD 1,752 mln), and net profit for the period amounted to RUB 28,642 mln (USD 457 mln).

X5's Shareholder structure is as follows: CTF Holdings S.A. - 47.86%, Intertrust Trustees Ltd (Axon Trust) - 11.43%, X5 Directors - 0.07%, treasury shares - 0.02%, Shareholders with less than 3% - 40.62%.

Forward looking statements:

This announcement includes statements that are, or may be deemed to be, "forward-looking statements". These forward-looking statements can be identified by the fact that they do not only relate to historical or current events. Forward-looking statements often use words such as "anticipate", "target", "expect", "estimate", "intend", "expected", "plan", "goal", "believe", or other words of similar meaning.

By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances, a number of which are beyond X5 Retail Group N.V.'s control. As a result, actual future results may differ materially from the plans, goals and expectations set out in these forward-looking statements.

Any forward-looking statements made by or on behalf of X5 Retail Group N.V. speak only as of the date of this announcement. Save as required by any applicable laws or regulations, X5 Retail Group N.V. undertakes no obligation publicly to release the results of any revisions to any forward-looking statements in this document that may occur due to any change in its expectations or to reflect events or circumstances after the date of this document.

Elements of this press release contain or may contain inside information about X5 Retail Group N.V. within the meaning of Article 7(1) of the Market Abuse Regulation (596/2014/EU).

For further details please contact:

Natalia Zagvozdina

Head of Corporate Finance and IR

Tel.:+7 (495) 662-88-88 ext. 27-300

e-mail: Natalia.Zagvozdina@x5.ru

Andrey Vasin

Head of Investor Relations

Tel.:+7 (495) 662-88-88 ext. 13-151

e-mail: Andrey.Vasin@x5.ru

 


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