Germany’s Haub family revives $2bn listing plans for OBI and Kik retail businesses
Investment group Tengelmann working on a proposal that could lead to a spin-off as soon as this year
One of Germany’s richest families has revived plans to list its holdings of two of the best known retailers in central Europe in a deal that could value them at a combined $2bn, betting on resilient consumer spending in the continent.
Tengelmann, an investment group run by the Haub family, has tapped bankers to work on plans that could include a spin-off of retail assets such as DIY retailer OBI and Kik, a discount chain, as soon as this year, according to two people with knowledge of the situation.
The companies are household names in central and eastern Europe, with thousands of stores and employees, and the investment group is betting that consumer spending in discount retailing and home improvements will extend for several years.
Tengelmann has explored a potential listing of OBI for several years, but abandoned its most recent attempt in 2021, according to a person familiar with the matter. In the latest plan, the company hoped to create a single listed entity housing the stakes, worth about $2bn together, said the people familiar with the process.
Tengelmann said: “As a matter of principle, we do not comment on speculation.”
The deliberations come even as retailers are increasingly cautious on their outlook because of the war in the Middle East amid concern a prolonged disruption to oil supplies will stoke inflation and cause interest rates to rise, dampening consumer confidence.
Munich-based Tengelmann traces its roots back to 1867, when it started as an importer of tea and coffee. It has grown into one of the world’s largest private consumer goods holding companies.
It has been run by five generations of the family and the majority of shares are owned by Christian Haub, its chief executive. His brother Georg holds the rest. Christian took over after another brother, Karl-Erivan, went missing while skiing in the Swiss Alps in 2018, and was declared dead three years later.
The move to divest its 74 per cent stake in OBI would mark a significant shift for Tengelmann, which took a controlling stake in the DIY chain in 1985 as part of a strategy to diversify away from food.
Founded in 1994 as a discount retailer, Kik has since expanded into property and venture capital, taking early stakes in companies such as online retailer Zalando, payment group Klarna and furniture maker Westwing Group.
The company, which competes with other low cost fashion chains such as the UK’s Primark and Poland’s Pepco, has more than 4,000 stores in 14 countries and aims to increase it to 5,000.
OBI has more than 600 stores across 10 countries and employs 40,000 people. It earned €8.2bn in revenues in 2024 financial year.