Basic boasts a portfolio 19 outlets and employs approximately 500 people in its stores and headquarters in Munich.
Tegut said that following approval from the German competition regulatory agency and acceptance of the insolvency plan, both companies will gradually grow together and a 'new and attractive' shopping experience will emerge in the markets in the coming years.
The employees of the organic supermarket chain were informed of the acquisition at a staff meeting by Tegut managing director, Thomas Gutberlet, and board member of basic, Christoph Eich, at the group's Munich headquarters.
The transaction is awaiting antitrust approval and implementation of an insolvency plan. Both companies have agreed not to disclose the purchase price.
Basic chief executive Christoph Eich commented, "This is good news for the company and for all friends and partners of Basic. We are very pleased to now be a part of the Tegut family.
"For our colleagues, this is the end of a period of uncertainty. Our customers will also be happy that they can continue to shop in their traditional Basic store."
"Tegut and Basic are a perfect match!" added Tegut managing director, Thomas Gutberlet. "We will gradually develop the existing stores together with the employees of basic and learn from each other in order to enable customers to shop in a feel-good atmosphere."