Sign in Subscribe
Financial markets

Cencosud Acquires Full Ownership of The Fresh Market for $295 Million

Strategic Insights

— 2 min read

Chilean retail holding company Cencosud has acquired full ownership of premium supermarket chain The Fresh Market, with the sale valued at $295 million. This acquisition marks a significant milestone in Cencosud's strategy to strengthen its presence in the US market. The Fresh Market, founded in 1982 by Ray and Beverly Berry, specializes in high-quality fresh and healthy products, with 172 stores operating in 22 states across the US. The acquisition builds on Cencosud's 2022 purchase of a 67% stake in the company for $676 million, marking the Chilean retailer's entry into the US market. Cencosud's full acquisition of The Fresh Market is expected to enable the company to accelerate integration of the chain into its operations and strengthen its position in the US supermarket market.

Key Takeaways:

  • Cencosud has acquired full ownership of The Fresh Market, a premium supermarket chain with 172 stores across 22 states in the US.
  • The acquisition is valued at $295 million, marking the Chilean retailer's full ownership of the company after purchasing a 67% stake in 2022 for $676 million.
  • The purchase highlights Cencosud's strategy to strengthen its presence in the US market, with the supermarket business growing 12.8% in sales in 2024.
  • The Fresh Market specializes in high-quality fresh and healthy products, baked goods, prepared foods, floral arrangements, and other items.
  • The acquisition will enable Cencosud to integrate The Fresh Market into its operations and accelerate its growth in the US supermarket market.
  • Cencosud operates in six countries: Chile, Argentina, Peru, Colombia, Brazil, and the US.
  • The company's supermarket business accounts for 80% of its revenue, where it has developed its own private-label products, such as Cuisine & Co.

Statistics:

  • $295 million: The value of Cencosud's acquisition of The Fresh Market.
  • $676 million: The value of Cencosud's 2022 purchase of a 67% stake in The Fresh Market.
  • 172 stores: The number of The Fresh Market locations across 22 states in the US.
  • 22 states: The number of states where The Fresh Market operates.
  • 80%: The percentage of Cencosud's revenue generated by its supermarket business.
  • 12.8%: The growth in sales in Cencosud's supermarket business in 2024.

Sources:

  • Sept. 4, UPI
  • Cencosud filing with Chile's Financial Market Commission
  • Interview with Claudio Pizarro, researcher at the Center for Retail Studies in the Department of Industrial Engineering at the University of Chile
  • Interview with Jorge Berríos, academic director of the finance program at the University of Chile's School of Economics

Read more