Coop taking over
Smart Club
Coop Norge, which runs a national chain of grocery stores and the country's only chain of so-called "hypermarkets," has emerged as the buyer of the troubled Smart Club chain of discounted, warehouse-like retail establishments.
 Atle Brynestad is selling the Smart Club chain that he built up. PHOTO: TERJE BENDIKSBY/SCANPIX |
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Smart Club is the closest retailer Norway has to, for example, Cosco in the US. It dropped its membership requirements, however, and has set up smaller stores in urban neighbourhoods in addition to the large sites its runs mostly along motorways outside city centers.
Oslo-based businessman Atle Brynestad, who has launched a variety of ventures over the years from Seabourn Cruises to glass-making operations in Sweden, started up Smart Club in the 1990s. The supermarket chain has suffered financially of late, however, and Brynestad had been seeking a buyer or new partners since at least last autumn.
He finally found a buyer in Coop Norge, which said it intends to continue running Smart Club under its own profile. No price was disclosed. The deal is subject to approval from Norway's competition authorities.
The deal will include the real estate under Smart Club's stores at Slependen in Asker, Alnabru in Oslo, Råde in Østfold and Skedsmokorset north of Oslo. Coop will also take over the leasing agreements for the smaller Smart Club Express stores at Bislett and Sofiemyr in Oslo.
Smart Club's operations in Trondheim are not included in the sale.
Coop managing director Nils Arild Steigedal said the deal should help strengthen Coop's market share in the Oslo area, which he described as "relatively weak" to date.
Brynestad's CG Holding will retain a real estate portfolio that includes new commercial sites that may be developed for sale or lease. Brynestad also owns, among other things, Christiania GlasMagasinet department stores and Hadeland Glassworks.
Nina Berglund
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