Axfood buys the store chain City Gross

With the purchase, the food giant Axfood, which also owns Willys and Hemköp, acquires a share of 90.1 percent of the shares in City Gross and thus goes from owning the current 9.9 percent to owning 100 percent of the shares.

– We believe a lot in City Gross and as owners we will invest in developing the concept and streamlining operations, says Klas Balkow, president and CEO of Axfood, in the press release.

City Gross currently has 42 stores, mainly in the southern parts of the country, with a market share of around 3 percent.

The company is running at a loss, but Axfood aims to make Citygross turn a profit by 2026 at the latest.