Chinese headline Argentina, October 22/Cl: The sale of French retail giant Carrefour's business in Argentina has entered the final stage, and it is expected that the acquirer's results will be officially announced in early November.

It is reported that the French headquarters of Carrefour officially launched the bidding process after rejecting the proposal of Chile Cencosud Group to directly acquire without due diligence. At present, four candidates from Argentina and overseas - Coto, Changom á s, Cencosud, and US investment fund Klaff Realty - have entered the final evaluation stage, and the relevant negotiations are being assisted by Deutsche Bank.

Global strategic adjustment drives withdrawal from Argentina

Industry insiders pointed out that Carrefour's exit from the Argentine market was not a hasty decision, but a global strategic adjustment at the group level. CEO Alexandre Bompard is pushing for the sale of some 'non strategic assets' to concentrate resources on core markets such as France, Spain, and Brazil.

Carrefour believes that Argentina's business is no longer attractive due to long-term economic fluctuations, frequent policy changes and continued low consumption. To maintain daily operations, the group must continuously inject funds, but the market still lacks signs of recovery and the economy has fallen into recession. Therefore, the French headquarters hopes to complete the withdrawal as soon as possible, ideally by early 2026.

Four major bidders competing

At present, the four bidding parties are undergoing in-depth due diligence by the evaluation team at their Paris headquarters. The candidates include:

Coto Group: Currently the largest domestic supermarket chain in the Argentine market (22.3%), with over 120 stores and three slaughterhouses.

Changom á s: It is a chain brand purchased from Wal Mart by entrepreneur Francisco De Narv á ez. It has 92 stores and about 9400 employees.

Cencosud Group: A Chilean retail giant that operates brands such as Jumbo, Disco, Vea, and Easy in Argentina.

Klaf Realty Fund: Headquartered in the United States, it currently operates Tienda Inglesa supermarket chain in Uruguay, and plans to replace Carrefour's stores in Argentina with this brand if the acquisition is successful.

According to sources, Carrefour France expects a sale price close to US $2 billion, but most of the bidders' quotations range from US $500 million to US $900 million. There are significant differences between the two sides.

Potential market concentration review

If the acquirer is Coto, Cencosud or Changom á s, the Argentine government may initiate an antitrust review through the Ministry of Industry and Commerce and the National Competition Commission (CNDC) to assess whether it constitutes market dominance or competition restriction. If Cencosud wins, its market share in Argentina will exceed 30%, forming a supermarket giant; If it is Coto, it may control about 42% of the market share.

In contrast, Klaff Realty does not trigger similar reviews as it does not have existing operations in Argentina.

Expected to announce results in November

According to the news, Carrefour headquarters will complete the evaluation in the next few weeks and officially announce the bid winner in November. Although the legislative election on October 26th may temporarily halt the transaction, it will not change the group's decision to withdraw.

Carrefour currently has about 700 stores in Argentina, covering supermarkets, convenience stores and wholesale businesses, with about 17000 employees. Regardless of who the ultimate buyer is, this sale will mark a significant restructuring of the retail landscape in Argentina and have a profound impact on the market.