Colruyt : acquires a 75% stake in specialist cycle shop Fiets!

Colruyt Group acquires a 75% stake in specialist cycle shop Fiets!

On 20 March 2019 Colruyt Group acquired a 75% stake in the Belgian specialist cycle shop Fiets!. This investment fits with Colruyt Group's ambition to respond to the consumer's needs in the different stages of his life cycle and to promote sustainable mobility. Fiets! will use the proceeds of the capital increase to extend its network of specialist cycle shops.

Fiets!, the ideal partner for both business and private customers

Fiets! is a leading player in the sale of branded bicycles, cycle wear and accessories in Belgium. The company distinguishes itself by its high-quality offer and the expertise of its teams. The extensive product range of Fiets! includes both traditional and electric bicycles. The 11 Belgian specialist cycle stores of Fiets! provide customers with individually tailored advice as well as reliable and quick bicycle maintenance and repair services.

Companies can lease or purchase company bicycles from Fiets! for their employees. In addition to the largest range of A brands, Fiets! also offers a broad service coverage. The company bicycle specialists have built up extensive experience and assist companies in their search for the right cycling plan.

Promoting sustainable mobility

By joining Fiets!, Colruyt Group expands its presence on the Belgian retail market, where it already operates various store formats in food (including Colruyt Lowest Prices, OKay, Spar, Bio-Planet and Cru) and non-food (Dreamland, Dreambaby and Collishop). This is now complemented with a high-quality offer of bicycles for business and private customers, which will be available both offline and online as from April 2019.

Marc Hofman, COO Retail of Colruyt Group: "This investment is in keeping with our long-term vision: we want to offer added value to the consumer in the various stages of his life and at the same time continue to invest in sustainable mobility."

Colruyt Group is fully focused and committed towards renewable energy and sustainable mobility. For years now, the group has consistently been promoting and facilitating the use of CNG (Compressed Natural Gas) for vehicles, the most sustainable fossil fuel available today. In October 2018 Colruyt Group opened its first public hydrogen filling station in Belgium. The group's "bike-to-work" programme has been in place for more than 10 years. By acquiring a stake in Fiets! Colruyt Group furthers its investments in sustainable mobility in Belgium.

Joint growth

Fiets! and Colruyt Group decided to join hands to help the company successfully relaunch in Belgium. Dieter Struye, Colruyt Group's non-food manager: "The market for electric bicycles is booming and Fiets! is a young and dynamic Belgian company. By combining our joint commercial and operational expertise, we are able to drive profitable growth while promoting sustainable commuter traffic."

Michel Verhaeren, shareholder and CEO of Fiets!: "Our mission is to enable as many people as possible to enjoy care-free cycling. To accomplish this mission, our experienced staff provides our customers with advice on purchases. Furthermore, we offer a qualitative after-sales service and only sell brands the quality of which we can honestly and fully vouch for. Colruyt Group's investment will allow us to again focus on growth and profitability. We plan to expand our network of specialist cycle shops in the years ahead. Hence, even more individuals and businesses will be able to rely on us for bicycle purchases, maintenance or repairs. The next shops are due to open in 2019 and will put the customer centre stage."

The transaction

Colruyt Group immediately acquires a 75% majority stake by means of a capital increase. The group has a call option to in time increase its stake to 100%. Current management remains in place and retains 25% of the shares.

Both parties have agreed not to disclose any details regarding the price or any other terms of the transaction. Arm's length principles were applied for the valuation.

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Contacts

For questions on this press release or for further information, please contact:

Colruyt Group

•  Journalists:

  Dieter Struye (Manager Non-food) or Hanne Poppe (Press Officer) Tel. [phone] (extension: 92590)

  or email:[e-mail]

•  Financial journalists and analysts:

  Stefaan Vandamme (CFO) or Liesbeth Nuelant (Investor Relations) Tel. [phone] (extension: 92590)

  or email:[e-mail]

Fiets!

•  Michel Verhaeren (CEO)

  email:[e-mail]

About Fiets!

Fiets! was founded in 2010 and has grown into a network of 11 specialist cycle shops in Belgium: in Antwerp, Boechout, Boortmeerbeek, Ghent, Hasselt, Herentals, Kuurne, Leuven, Merksem, Roeselare and Wijnegem. Fiets! is a leading player in the sale of branded bicycles, cycle wear and accessories. The concept distinguishes itself by a high-quality offer and the expertise of its teams. Fiets! is a distributor of a number of top brands, includingTrek,Flyer, Koga,Brompton, Cube, Gazelle. The specialist cycle shop also provides bicycle maintenance and repair services. Companies can lease or purchase company bicycles from Fiets!. More information can be found atwww.fiets.be.

About Colruyt Group

Colruyt Group operates in the food and non-food distribution sector in Belgium, France and Luxembourg with approximately 560 own stores and over 580 affiliated stores. In Belgium this includes Colruyt, OKay, Bio-Planet, Cru, Dreamland, Dreambaby and the affiliated stores Spar and Spar Compact. In France, in addition to Colruyt stores, there are also affiliated Coccinelle, Coccimarket and Panier Sympa stores. The group is also actively involved in the foodservice business (supply of food products to hospitals, company canteens and catering businesses) in Belgium (Solucious). The other activities comprise the sale of fuel in Belgium (DATS 24), printing and document management solutions (Symeta) and the production of green energy. The group employs over 29.300 employees and recorded a EUR 9,0 billion revenue in 2017/18. Colruyt is listed on NYSE Euronext Brussels (COLR) under ISIN code BE0974256852.