Mexico City - After months of rumors, Soriana has confirmed the purchase of Comercial Mexicana for $39 billion pesos, around $2.8 billion USD. Soriana stated that their operations will add 160 stores under the Comercial Mexicana, Mega, Bodega Comercial Mexicana and Alprecio formats, leaving out the Fresko, City Market and Sumesa stores operated by Comercial Mexicana.

Note that this operation is subject to certain contractual conditions, corporate approvals and approvals from the Federal Competition Commission (Cofece) and the National Banking and Securities Commission (CNBV).

Once the relevant government approvals have been obtained, Controladora Comercial Mexicana (Comerci) will have to split up their businesses, creating two companies whose shares are listed on the Mexican Stock Exchange, to close the deal. Meanwhile, Soriana will launch a public offer to acquire the Comerci stocks through the Mexican Stock Exchange (Bolsa Mexicana de Valores).

Subject to the various approvals, the Soriana-Comercial Mexicana deal would increase the number of Soriana stores from 664 to 837 (giving Soriana a 15.9% market share), bump its annual sales by 37%, and increase its work force by 21,300. This will put Soriana right behind WalMart, which has 2,289 stores and a 44.2% market share.