Paris - Paul Hastings has advised Union des Coopérateurs d’Alsace (“Coop Alsace”) in connection with the sale of 128 stores to Groupe Carrefour. The acquisition of the Coop Alsace chain of local stores should enable the second largest retailer in the world to develop a lasting presence in Alsace.
This transaction is part of a major restructuring of Coop Alsace. Facing indebtedness of €140 million and losses of more than €20 million per year since 2008, Coop Alsace had 3,600 employees in 2011. Coop Alsace was able to repay all of its debts and preserve 75% of its 3,600 employees, thanks, in particular, to the sale of its hypermarkets in 2013 and to the sale of its 128 stores to Carrefour.
During the next two years, Carrefour plans to invest €18 million to modernize the cooperative’s local stores of which it has just taken control. This transaction will also make it possible to maintain employment for all of the employees attached to the stores sold to Carrefour.
The Paul Hastings team included partners Guillaume Kellner and Etienne Mathey and associate Charlotte Pennec for corporate issues, partners Deborah Sankowicz and Stéphane Henry for employment law, and partner Allard de Waal and associate Laurent Ragot for tax issues.
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