JD.com have put in a €2.2 billion offer to buy CECONOMY, the parent company of MediaMarkt and Saturn, which would give them 1,000 stores across Europe plus Europe’s largest consumer electronics retailer.
The acquisition would give the Chinese company access to around 2.2 billion customer contacts and firmly put JD.com at the center of European ecommerce.
CECONOMY’s business generates some €22 billion in sales and would give them €5 billion in online sales across major European countries. And CECONOMY hold either the #1 or #2 position in nine out of the eleven territories they operate in.
JD.com have said that they will maintain the existing CECONOMY corporate structure for a minimum of five years, respect existing trade union agreements, and maintain an independent IT infrastructure.
CECONOMY’s market-leading position, strong customer relationships and growth are impressive, and we are firmly committed to investing in its people and distinct culture to build on this success. We will work with the team to strengthen the capabilities, while applying our advanced technology capabilities to accelerate CECONOMY’s ongoing transformation. Our goal is to further grow CECONOMY’s platform across Europe and create long-term value for customers, employees, investors and local communities. We have full confidence in the management team of CECONOMY and look forward to working together to initiate the next phase of growth.
– Sandy Xu, CEO, JD.com
With JD.com’s outstanding retail, logistics, and technology capabilities, we can further accelerate our successful growth trajectory and go beyond our current strategic goals. Thanks to the tremendous dedication and commitment of our entire team, CECONOMY operates from a position of strength. Given the constantly evolving customer expectations and market dynamics, standing still is not an option. In the coming years, we don’t just want to keep pace with the transformation in European retail – we want to continue leading it. JD.com is the right partner for this. We share a passion for our customers and a firm belief that our employees, trusted partnerships with international brand manufacturers, and the combination of digital and brick-and-mortar business are the keys to success. We partner with JD.com to strengthen European retail, based on complementary strengths and shared values.
– Dr. Kai-Ulrich Deissner, CEO, CECONOMY
