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“This is a natural fit with our existing business and takes us a step closer to our company vision of US$2 billion in annual sales by 2020“ |
Atul Ahuja CEO Flemingo Group |
INTERNATIONAL. Flemingo Group has acquired Chacalli-De Decker, which specialises in the supply of duty and tax free goods to diplomats, UN organisations and military missions, from former owner Overseas.
Chacalli-De Decker has operations across Belgium, The Netherlands, France and the UK, as well as travel retail shops in Liege, Weeze and Rotterdam airports.
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The acquisition further expands Flemingo Group’s activities in the diplomatic duty free business, where it has been active for over 15 years. The company launched a Diplomatic online service earlier this year.
Chacalli will become Flemingo’s brand for its diplomatic business in Europe. The company said the acquisition positions it “among the leading companies in the global diplomatic supply sector”.
Flemingo added that it has plans to increase locations and diplomatic services. Growth will be driven by developing and emerging markets, where the diplomatic community is seeking more product offers and services.
The transaction is being structured in such a way that 38% of the shareholding will be held by Flemingo, with the remaining 62% being held by its Baltona subsidiary. Flemingo said the three Chacalli airport duty free contracts fit into the existing retail offer of Baltona, which will now have a presence in seven European countries.
Flemingo CEO Atul Ahuja said: “This is a natural fit with our existing business and takes us a step closer to our company vision of 2B BY 2020 [US$2 billion in annual sales by 2020].”
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Chacalli CEO Marc Leemans |
Based in Dubai, Flemingo Group will soon have operations in 29 countries, after recently winning contracts in Morocco, Costa Rica and Brazil.
Chacalli CEO Marc Leemans said: “Flemingo brings a global opportunity to Chacalli-De Decker, the Chacalli brand and their focus on the growth of diplomatic sales. Our experience could position the newly structured division as a world leader in this sector. The Chacalli team looks forward to being part of a larger global growing company.”
Flemingo’s European operation, Baltona, is listed on the Warsaw stock exchange, with Flemingo holding around 80% of the company. It operates 46 stores, including 11 food and beverage outlets in nine airports in Poland, Ukraine and France. A number of these outlets are part of airport master retail concessions, which include duty free, duty paid, boutique and convenience shops, as well as food & beverage outlets.
Overseas CEO Eric Demaerel said: “This step will allow Overseas to focus the company as a global independent distributor to duty free retailers.”
