A 180-degree turn by AVE, which admits that the growth path it had chosen for the Carrefour network did not work out and is shifting the weight of its strategy to pharma, YALCO, acquisitions and B2B services.
Management admits that it underestimated market conditions in organized retail, decided to sell the corporate Carrefour stores and retain only the franchise model, which, as stated, performs significantly better.
“We are reducing the risk of losses so obviously it did not work out for us. We are changing the model. We are keeping the contract (i.e. with Carrefour), if an opportunity arises we are open to an acquisition,” said Mr. Roupas, who in response to a question from Euro2day.gr clarified that the contract with Carrefour has another 6+10 years. Within July, 5 more stores are expected to open, while the target is for the network to reach 50 locations by the end of the year.
The group retains Carrefour’s master franchise rights in other markets, examining new opportunities, among others in Cyprus, while it admitted that the development in Bulgaria also did not evolve as planned, attributing the result to the choice of local partner.
During the annual general meeting, which was held with a quorum of 78.66%, the company’s CEO, Thomas Roupas, described a new business model based on three pillars, with the common denominator being customer needs and not the product itself.
“We are not interested in whether we sell food, televisions or medicines. We are interested in the customer and the services they need. Technology is what will connect all the group’s activities,” he said, describing the creation of a platform that brings together the 13 current subsidiaries, which will reach 20 by the end of the year, through acquisitions.
He also stated that AVE’s restructuring took time, but now the group can look at the future “creatively,” while he did not fail to mention that the main shareholder, Nikos Vardinogiannis, fully supports the new strategy.
However, Mr. Roupas did not want to provide, in response to a question from Euro2day.gr, figures and financial targets.
AVE established AVE Pharma, in which it retains a 75% stake, with the aim of making it the umbrella company for all activities in the sector. At the same time, through a capital increase it is strengthening its participation in Pharma Plus, where from a 15% stake it will rise to 30%, and the remainder is controlled by DECA, while AVE Pharma will operate as the group’s main investment vehicle in this specific sector.
Management estimates that the current institutional framework, which provides for the pharmacist’s participation with at least 33% in the ownership of pharmacies, ultimately works in favor of the venture.
“We do not believe in full acquisitions. The pharmacist must remain a partner. Experience has shown that when the founder exits completely, the chances of failure increase,” said Mr. Roupas. The goal is for a network of 100 franchise pharmacies to be created by the end of 2027, while the installation of a unified information system across all members of the network is already being implemented.
The moves of the first half also include the acquisition of a 32% stake in Yalco. According to Mr. Roupas, Yalco is already showing a significant improvement in performance, with first-half results running about 60% higher than the corresponding period of 2025.
Management set 2027 as the main milestone, when it seeks for the group to have completed its transformation, to show high and recurring profitability, and to return to distributing dividends to shareholders.
“We do not know which sector will be the largest in the future. We are building a group that will be able to adapt to market opportunities. It is an ultramarathon and not a sprint,” noted Mr. Roupas.