Tesco has been reviewing options for its presence in Hungary, the Czech Republic and Slovakia, with potential buyers reportedly showing interest in acquiring the individual country businesses. 

Such a move could mark the end of more than three decades of Tesco’s activity in Hungary. The supermarket giant first entered the Hungarian market in the 1990s and became one of the country’s best-known international retailers, particularly through its large out-of-town hypermarkets. 

However, changing shopping habits, growing competition from discount chains, and a shift in Tesco’s international strategy have raised questions about its long-term future in Central Europe.

A separate sale of the Hungarian business could attract interest from regional retail groups and investors looking to expand in Hungary’s grocery and retail market. The company’s local operation includes a nationwide network of stores, established logistics infrastructure and a large customer base.

For shoppers in Hungary, any ownership change would not necessarily mean immediate changes in stores or services. Tesco has not yet announced any closure programme linked to a possible sale.

According to reports from Czech business media e15, Tesco has already appointed investment banks Citigroup and Goldman Sachs to help prepare the potential transaction. 

The Hungarian business is reportedly being considered separately from the Czech and Slovak operations, which are expected to be offered together as a combined package.

Among the companies reportedly interested in the Czech and Slovak networks are the Schwarz Group, the owner of Lidl and Kaufland, as well as Poland’s Biedronka supermarket chain. 

Currently there is no confirmed information about which companies may be interested in acquiring Tesco in Hungary.

If Tesco does leave Hungary, it would represent a significant change in the country’s retail landscape. For many expats, Tesco has long been a familiar shopping option, particularly because of its wide product range and availability of affordable imported goods.

At this stage, no final decision has been announced, but the possibility of a new owner for Tesco Hungary appears increasingly realistic. 

Tesco, Citigroup and Goldman Sachs have not confirmed or denied the latest media reports which have been reported in Hungary by Portfolio.

Photo: Tesco

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