Rewe CEO Criticises Ministerial Decision Over Edeka-Tengelmann Deal
Alain Caparros, the chief executive of Rewe Group, has criticised the decision by Germany's Economics Minister, Sigmar Gabriel, to give the green light for Edeka to take over Tengelmann's Kaiser's operation.
According to Lebensmittel Zeitung, Caparros criticised the Minister for giving the go-ahead to the deal, saying that it was the "wrong direction" to take.
Caparros stressed that a "clear rejection" of the proposed merger would have been a better option, and said that Rewe was going to "carefully examine" whether the proposals outlined by Minister Gabriel are admissible.
Caparros isn't alone in his criticism, either. Recently, the German farmers' association, Deutscher Bauernverband, also rejected the decision, saying that its members were already feeling the effects of high concentration in the trade, Lebensmittel Zeitung reported.
Rewe, along with other parties, has 14 days to present a formal opinion on the issue to the German Economics Ministry.
© 2016 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. To subscribe to ESM: The European Supermarket Magazine, click here.