German retailer Schwarz, which already operates its chains Lidl and Kaufland in Romania, received from the local competition body (Consiliul Concurentei) a conditional permit to take over the majority stake in Romanian retailer La Cocos, according to a press release issued by the Competition Council.

The new owner will have to preserve the business model developed by La Cocos, including the pricing policy (commercial markups, progressive volume discounts) and, to a large extent, the suppliers. Furthermore, the investors have committed to developing La Cocos chain independently from its other chains, Lidl and Kaufland.

Schwarz Group commits to maintain the current pricing strategy of La Cocos stores, without exceeding the reference gross margin, for a period of four years from the completion of the transaction.

At the same time, the Schwarz group undertakes not to close or limit the activity of the La Cocos network for a period of five years from the completion of the transaction, ensuring the continuity of commercial activity under the same brand and in its current form. Also, for a period of five years, the specific format of the La Cocos stores will be maintained within the current parameters.

In addition, Schwarz is committed to expanding the La Cocos network nationwide by opening or initiating procedures for opening stores in the next five years. This measure aims to increase consumer accessibility to this store format and intensify competition in the retail market.

The Schwarz Group will also keep La Cocos separate from the corporate and operational structures of Kaufland Romania and Lidl Romania for a period of five years. This will preserve La Cocos's commercial independence and limit the effects of a possible excessive consolidation in the FMCG retail market.

The commitments also provide for the obligation not to make acquisitions below the notification thresholds in the food retail market, which would limit the possibility of further strengthening the group's position in already concentrated local markets and reduce the risk of significant strengthening of market power.

La Cocos expands to seven stores and EUR 300 million of sales in 2025.

La Cocos chain expanded from four stores - two in Ploiești and one each in Bucharest and Brașov - at the beginning of 2025, to seven. During the last year, the retailer expanded with three additional units in Pitești, Craiova, and Arad. The chain is selling food and non-food products. 

La Cocos reported its sales rose by 28% y/y to RON 1.5 billion (EUR 300 million) in 2025. 

Schwarz Group is expected to reach a turnover of approximately EUR 10 billion in Romania this year, after the addition of La Cocos to its existing chains.

The Romanian retail chain had previously been taken over by EBRD and private equity funds.

Schwarz agreed last July to acquire a 70% stake in La Cocos, a discount chain founded by Romanian entrepreneur Iulian Nica (which retains a 30% stake), from financial investors. The European Bank for Reconstruction and Development (EBRD), alongside investment funds Morphosis Capital and CEECAT, had taken "a majority stake "in August 2024 in a deal estimated at EUR 30–35 million. At that time, the new majority shareholders announced plans to open 12 stores and reach the EUR 1 billion sales threshold by 2030.

iulian@romania-insider.com

(Photo source: the company)