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    Jumbo and Hema announce close cooperation

    Jumbo and Hema announce close cooperation

    Jumbo and Hema are going to cooperate closely in Belgium and the Netherlands. Both Dutch companies think they can profit from eachother's strengths

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    Complementary companies

    The collaboration should allow both companies to strengthen their market positions and eachother's store network. Hema will sell its products in Jumbo's supermarkets, fitting nicely in its owner Marcel Boekhoorn's intentions to turn Hema from a store chain into a brand that can be sold in many other stores as well. Jumbo will therefore fit in the group of Dutch Wehkamp, French Franprix and American Walmart, chains that are already selling Hema's products.

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    "The collaboration between both chains is the result of the thought that both chains are quite complementary. Part of the talks has also been Hema's co-sponsorship of Team Jumbo Visma, a speedskating and cycling team", both companies say in a joint press release. It is important to stress, however, that these negotiations are still ongoing: both parties hope to finalise the details by the end of this year.

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    Dutch newspaper De Telegraaf calls the deal a blow for Albert Heijn, Jumbo's main rival. The newspaper expects dozens of Hema stores to be sold to Jumbo, giving the latter the opportunity to acquire stores on prime locations - and the former the opportunity to lower its towering debts.

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