Musgrave acquires Joyce’s Supermarket in Oranmore from Tesco
After acquiring the Oranmore supermarket for an undisclosed sum, Musgrave plans to “transition the store in due course” to the SuperValu brand
10 November 2023
To allay concerns raised by the competition regulator last year, Tesco Ireland has sold one of the nine Joyce’s Supermarket locations it acquired for more than €80 million last year to Musgrave.
Musgrave confirmed on Thursday last, that it had agreed to buy the supermarket in Oranmore, Co Galway for an undisclosed sum and intended to “transition the store in due course” to the SuperValu brand.
The group would operate the store as normal during the transition process, Musgrave said, and would welcome the 44 people currently employed there once 30 days had elapsed under transfer of business rules.
The Irish Times has reported that while it is understood the store will operate under the direct ownership of Musgrave, an independent retailer could be sought to run the supermarket in the future.
The Competition and Consumer Protection Commission (CCPC) began a full investigation into Tesco’s proposed acquisition of the Joyce’s chain last year, ultimately clearing the deal in June 2022.
The commission required binding commitments from the Tesco after raising concerns about the number of alternative effective competitor supermarkets operating in the Oranmore area following the acquisition.
Tesco subsequently committed to selling Joyce’s Supermarket in Oranmore to a “suitable purchaser”, subject to CCPC approval.
“All employee roles are protected and will transfer to the new retailer,” a spokesperson for Tesco Ireland said. “Tesco continues to focus on supporting employees and suppliers during this next phase of the transition and thanks them for their patience to date.”
Accounts filed in September show that Tesco paid €80.2 million in cash for the family-owned chain in Galway last year.