Walmart Canada to acquire 13 Target locations and one DC
MISSISSAUGA, Ontario — Walmart Canada has reached agreements to acquire one distribution center, 12 store leases and one owned property formerly held by Target Canada, for an aggregate of approximately $165 million Canadian ($136.3 million).
Walmart expects to invest a further approximately $185 million Canadian to renovate the 13 stores and distribution center bringing Walmart’s total investment to approximately $350 million Canadian. Work on all locations is expected to start within the next few months subject to all necessary approvals. Grand opening dates and specific details for each location will be confirmed over the coming months.
“Walmart is committed to the Canadian market, and this agreement helps us accelerate our growth plans ensuring more Canadians have access to our low prices,” stated Dirk Van den Berghe, president and CEO of Walmart Canada. “The 13 stores acquired are well situated, and we are excited to bring Walmart’s successful Supercentre offer to customers in these markets. We have served millions of loyal customers, and look forward to continuing to serve them through our stores and growing e-commerce business.”
Walmart plans to hire approximately 3,400 new associates in British Columbia, Manitoba, Ontario and Quebec and these projects are expected to generate approximately 1,500 trade and construction jobs.
The acquisition of these 13 retail locations, one distribution center and the investment commitment of approximately $350 million Canadian are in addition to the 29 Supercentre projects announced on Feb. 11 of this year. The previous announcement covered an investment of $340 million Canadian for supercenters, expansion of the company's existing distribution network and e-commerce projects, bringing Walmart’s total investment to approximately $690 million Canadian.
The transactions are subject to the approval of the court in accordance with Target Canada's Companies' Creditors Arrangement Act proceedings and certain other customary conditions.