Tesco Ireland opt to buy Galway supermarket chain to boost market share

The acquisition of the 10 Joyce’s supermarket stores is reliant on approval by the Competition and Consumer Protection Commission

The move marks the first time Tesco has bought a portfolio of stores in the Republic since it entered the market in 1997 by acquiring Quinnsworth.

Tesco has made a play to boost its market share in Ireland by acquiring 10 stores which currently operate under the family-owned Joyce’s supermarkets brand.

All of the supermarkets are based in Galway and will be rebranded as Tesco stores on a phased basis next year. 

The value of the deal has not been disclosed and the acquisition is reliant on approval by the Competition and Consumer Protection Commission.

The deal will see Joyce’s Supermarkets’ 500 employees transfer to Tesco.

The move marks the first time Tesco has bought a portfolio of stores in the Republic since it entered the market in 1997 by acquiring Quinnsworth.

Tesco Ireland chief executive Kari Daniels said the move boosts the retailer’s offering in the west of Ireland.

"This agreement provides a great platform for us to bring our value, quality and range of products to more customers," she said.

Tesco is currently the third-largest player in the grocery market in the Republic. 

It has a 21.3% share of the market, according to latest figures from market research group Kantar, and lags the Musgrave Group-owned SuperValu and market leader Dunnes, which controls 22.6% of the market, but is succeeding in recruiting new shoppers of late.