Strategic alliance in Germany

The building materials cooperative I&M Interbaustoff and Toom Baumarkt (DIY stores) intend to work together to improve their position in the competitive retail sector by means of a strategic alliance. Within the scope of this alliance, I&M Interbaustoff is transferring buying activities for its DIY store division with more than 280 outlets and a combined floorspace of approx. 350 000 m² to Toom Baumarkt. The procurement volume amounts to around € 300 mio. Buying in the traditional builders' merchant segment is not affected by this move. In addition, Toom Baumarkt is enabling the cooperative's head office to take over its marketing concepts for members. Toom Baumarkt possesses modular product range concepts and is geared to working together with independent entrepreneurs in the sales field through having its own franchise and partnership stores. The alliance is being coordinated by a steering committee with equal representation.