La Place to Operate Independently After Separation from Jumbo

La Place, a Netherlands-based restaurant chain with 60 locations, will become an independent organization after separating from Jumbo. Koninklijke Jumbo Food Groep and Vermaat will remain as joint venture partners in this new entity.

This separation has broader implications for the food service sector, as it allows La Place to focus on its core competencies and growth opportunities. The new independent structure may lead to increased competition and innovation in the market, which will benefit consumers in the long run.

La Place was acquired by Jumbo in 2016 from the bankrupt estate of V&D. The restaurant chain initially started selling sandwiches in V&D department stores in 1987 and later expanded to standalone locations. Under Jumbo's ownership, La Place returned to the department store format, this time in HEMA, which is also owned by Jumbo.

The collaboration between Vermaat and Jumbo in La Place restaurants began over three years ago when Vermaat became the operator of several dozen locations. Despite the separation, La Place's assortment will remain available in Jumbo supermarkets. Financial details of the deal have not been disclosed.

According to Ton van Veen, CEO of Koninklijke Jumbo Food Groep, "We are proud of the results we have achieved with La Place since we acquired the hospitality organization in 2016." Van Veen added that La Place has brought Jumbo more inspiration in food, including innovation, new recipes, and products.

Rick Zeelen, CEO of Vermaat, emphasized the strategic alignment of this decision with their positioning and expansion ambitions. "This strategic decision aligns with our positioning and expansion ambitions," Zeelen said. Vermaat has been a franchise partner of La Place since 2021 and will continue in this role within the new structure.

All La Place employees will transfer to the new organization, including those at the service office in Veghel, which will eventually move to a new central location. The separation aims to give La Place more freedom to grow and expand its ambitions.

La Place has had a successful year in 2023, with sales and profit contributions returning to pre-COVID levels. The new independent La Place organization will support over 70 restaurants in the Netherlands and abroad.

The separation is subject to the advice of the companies' works councils and approval from the relevant competition authorities. Jumbo will retain the exclusive right to offer La Place products in its supermarkets.

This strategic move allows La Place to focus on its core competencies and growth opportunities, while Jumbo sharpens its strategic focus. La Place's new structure aims to leverage the right knowledge and expertise for future expansion.

As La Place embarks on this new chapter as an independent entity, it continues to build on its legacy of innovation and quality in the food service sector. The collaboration with Jumbo and Vermaat is expected to further strengthen its market position and growth potential.

Key Takeaways

• La Place separates from Jumbo to become an independent organization.
• Koninklijke Jumbo Food Groep and Vermaat remain joint venture partners.
• La Place's assortment will still be available in Jumbo supermarkets.
• All La Place employees will transfer to the new organization.
• The separation aims to boost competition and innovation in the food service sector.