MEXICO CITY (Reuters) - Mexican brewer Grupo Modelo has reached an agreement with Circle K to sell its Extra convenience stores in Mexico, the company said in a statement on Monday.
The sale includes 878 Extra stores but the cost of the transaction was not disclosed, a Modelo spokeswoman told Reuters.
The sale to Circle K, a unit of Canada’s Alimentation Couche-Tard Inc (ATDb.TO), awaits regulatory approval.
Prior to the announcement, Circle K had 150 convenience stores in Mexico, a tiny fraction of the 12,000 outlets the company runs worldwide, according to Circle K’s website.
Grupo Modelo GMODELOC.MX, which makes Corona beer among others brands, is owned by Anheuser-Busch InBev SA (ABI.BR), the world’s biggest brewer.
Mexico’s convenience store market is currently dominated by the Oxxo chain, owned by Mexican bottler and retailer FEMSA (FMSAUBD.MX), which operates more than 11,0000 stores in the country.
Reporting by David Alire Garcia and Gabriela Lopez; Editing by Lisa Von Ahn and Bernadette Baum