Gokongwei-controlled Robinsons Retail buying 100% of Rustan grocery chain

MANILA, Philippines — Robinsons Retail Holdings Inc. (RRHI) has announced its P18-billion acquisition of grocery chain operator Rustan Supercenters Inc. (RSCI) in a bid to “build a leading food retail business.”

Rustan Supercenters operates food retail brands Marketplace by Rustan’s, Rustan’s Supermarket, Shopwise Hypermarket, Shopwise Express and Wellcome.

In a disclosure to the stock exchange on Friday, the Gokongwei-led retail giant said the respective Board of Directors of Robinsons Retail and Mulgrave Corp. B.V (MCBV) approved the former’s acquisition of 100 percent stake in Rustan Supercenters “through a share for share swap.”

Mulgrave, which previously acquired Rustan Supercenters from the Tantoco family, is a wholly-owned member of Dairy Farm International Holdings Ltd. Group of companies, the Asian retail arm of conglomerate Jardine Matheson Holdings Ltd.

In exchange, Dairy Farm will own 18.25 percent of Robinsons Retail.

“Certain members of the Gokongwei family intend to sell some of their shares which will result in the Gokongwei Family effectively owning 51 percent of the expanded capital of RRHI,” the disclosure read in part.

The transaction is intended to be completed once the necessary approvals are obtained from the shareholders of Robinsons Retail, the Philippine Competition Commission and the Securities and Exchange Commission.

“The transaction is expected to further strengthen RRHI’s supermarket business since RSCI is the leading provider of upscale grocery business,” the company said.