Travel retailer Flemingo International has acquired specialist duty and tax-free supplier Chacalli-De Decker. The company supplies duty and tax-free goods to diplomats, UN organisations and military missions from duty-free liquor and tobacco distributor Overseas. The distributor has operations across Belgium, Netherlands, France and the UK and travel-retail shops in Liege, Weeze and Rotterdam airport.
Chacalli will become Flemingo’s brand for its diplomatic business in the European market and the company plans to increase locations and diplomatic services offered by the group. “Growth is expected from this sector especially in the developing/emerging markets where the diplomatic community seeks increases in product offer and service,” said Flemingo in a statement.
As part of the transaction 38% of the shareholding will be held by Flemingo with the remaining 62% held by Baltona, Flemingo’s European operation listed on the Warsaw stock exchange “The three Chacalli airport duty-free contracts will fit well the existing retail offer of Baltona and increase its foothold to seven countries in Europe,” added Flemingo.
Flemingo Group CEO Atul Ahuja said: “This is a natural fit with our existing business and takes us a step closer to our company vision of 2B BY 2020 [$2bn sales].”
Chacalli CEO Marc Leemans commented: "Flemingo brings a global opportunity to Chacalli-De Decker, the Chacalli brand and their focus on the growth of diplomatic sales. Our experience could position the newly structured division as a world leader in this sector. The Chacalli team looks forward to being part of a larger global growing company”.
Flemingo Group has a 15-year history in the diplomatic duty-free business and launched its diplomatic online service earlier this year.