Kingfisher takes a stake in Hornbach

The British retail group Kingfisher plc has acquired a slice of 25% plus 1 share in the German home improvement retailer Hornbach Holding AG. The Bornheim-based family concern is looking to this new participation to spur its expansion rate, with the aim of attaining market leadership in the German DIY sector in the medium term. For Kingfisher the move marks the end of a lengthy search for cooperation partners in Germany. Key talks with the Tengelmann subsidiary OBI collapsed this summer.

Kingfisher operates 554 Castorama and B&Q home improvement stores in the UK and France. Aside from a few Castorama branches, the company has so far operated in Germany via the ProMarkt specialty consumer electronics chain. Hornbach AG boasts 90 branches in Germany, Austria, Luxembourg, the Netherlands and the Czech Republic.