NewPrinces is acquiring Carrefour’s operations in Italy for €1bn ($1.18bn), marking a significant move towards “vertical integration between production and distribution.”
Headquartered in Italy, NewPrinces stated that Carrefour operates a robust store network, encompassing over 1,000 locations across regions such as Piedmont, Lombardy, and Liguria.
Subject to regulatory approval, NewPrinces anticipates that the transaction will finalize by the end of the current third quarter.
This acquisition represents the latest strategic move by NewPrinces, formerly trading as Newlat Food, which acquired the UK-based Princes Group last year. Recently, the company also entered an agreement to acquire a selection of baby food brands from US giant Kraft Heinz in Italy.
“The acquisition of Carrefour Italia represents a significant milestone in our group’s growth trajectory,” stated Angelo Mastrolia, chairman of NewPrinces.
“With this transaction, we are taking a decisive step towards vertical integration between production and distribution, thereby enhancing our capability to generate value throughout the supply chain.”
Mastrolia added, “We have made the bold decision to invest in a strategic asset for Italy, aiming to revitalize a comprehensive retail network while maximizing synergies between industry and distribution.”
“Our ambition is clear: to establish a sustainable, solid, and long-term model that benefits customers, employees, suppliers, and shareholders alike.”
As part of this transaction, Carrefour has committed to reinvesting €237.5m in its Italian stores, providing a “one-off contribution” to support the retailer’s “industrial relaunch and operational continuity.”
Meanwhile, NewPrinces has pledged €200m towards “development initiatives, logistics innovation, and brand renewal.”
Carrefour acknowledged this agreement in its full-year 2025 results released on July 24. The retailer noted that its stores in Italy experienced a “recovery” period from 2020 to 2022, followed by a decline in sales last year.
In the same year, Carrefour Italia reported a €67m loss in recurring operating income and faced negative free cash flow totaling €180m.
“This operation encompasses all of Carrefour’s activities in Italy and will enable the company to refocus on its key markets in Europe and Latin America,” stated the France-based retailer.
With this deal, the owner of the Princes, Napolina, and Delverde brands seeks to “optimize synergies” between production and distribution while “enhancing” its brand portfolio.
NewPrinces also envisions developing new omnichannel platforms to facilitate the sale and delivery of fresh and packaged products, thereby “strengthening” its presence in “key” European markets.
The Carrefour stores in Italy generated approximately €3.7bn in sales last year, with an EBITDA of €115m. Following the transaction, the pro-forma consolidated turnover of the food and drinks group is expected to reach around €6.9bn.
In Q1 2025, NewPrinces reported revenues of €672.2m, a slight decline from €699.9m in the same period of 2024. EBIT stood at €28.9m, compared to €5.9m a year earlier. Notably, NewPrinces achieved a first-quarter net profit of €13.5m, reversing a loss of €2.2m from the previous year.
Besides the Carrefour agreement, NewPrinces is reportedly considering an IPO for the UK Princes unit on the London market in October.
