France: Dia puts stores up for sale

Spanish supermarket Dia has confirmed that its business in France is up for sale, as the group looks to refocus its efforts on growth markets.

The news was reportedly announced to unions on 6th May at a board meeting at the group's French headquarters in Vitry. The move was later confirmed in a statement released by Dia in which it said that it had "set in motion the relevant processes in order to sell the totality of its activities in France".

In the same statement Dia reported that adjusted net profit had risen 9.7 % in the first quarter of 2014 to €40.1 million ($55.8 million), bolstered by strong sales in its domestic market as well as emerging economies.  Brazil, China and Argentina, where the group's sales grew by 28% over the same period, are reportedly among the markets now targeted for future growth.

Speculation that Dia might look to dispose of its French outlets had arisen as early as last autumn, when LSA reported on rumours that the Spanish retailer was mulling its options on the future of its business in the country.

Source: Abras / BFMTV / Le Figaro / Fresh Plaza