At a glance: Danish grocer Netto as it returns to the UK

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As Netto reveals plans to return to the UK this year through a joint venture with Sainsbury’s, we take a look at the Danish discount grocery chain.

The retailer launched in Copenhagen in 1981. The retailer is the largest retail chain in Denmark with more than 450 stores.
It operates 1,255 stores across four countries: Denmark (453), Germany (346), Poland (301) and Sweden (155).
The Danish translation of Netto means net price. Netto said its prices will be “transparent with a focus on everyday low prices, with a refreshing lack of multibuy offers”.
Netto is the third biggest brand in Denmark, behind Ikea and electronics retailer El-Giganten.
It is owned by Dansk Supermarked, which also owns three other Danish retail brands: department store Salling, supermarket Føtex and hypermarket Bilka.
Dansk Supermarked’s is the largest retail company in Denmark and has a 34.9% market share. It operates more than 1,300 stores in four countries
The company reported revenues of 56.9bn kroner (£6.1bn) in 2013, up from 54.4bn kroner (£5.8bn) the year before. Profit before tax increased to 1,771 kroner (£189m) in 2013, up from 1,317 kroner (£141m) the year before.
More than two million customers visit Dansk Supermarked’s stores everyday.
Dansk Supermarked employs 42,500 people and is run by managing director Per Bank.
Netto launched in the UK in 1990, with its UK headquarters based in South Elmsall, West Yorkshire. It operated a total of 194 stores in the UK.
Its trademark black ‘Scottie’ dog will also be making a return to the UK.
The partnership marks a return to UK soil for the Danish supermarket after it departed the market in 2010 when it sold its stores to Asda for £778m.
The joint venture with Sainsbury’s will see the opening of 15 Netto stores by the end of 2015. The first store is expected to open later this year.
Both Netto’s and Sainsbury’s initial investment in the joint venture will be £12.5m. Each partner expects to incur a post-tax loss of around £5-10m up to March 31 2015.