Migros Exits Germany: Tegut to Be Sold to Edeka After Years of Losses

CMB News | Retail & Food Industry | March 2026

In a major shift within the German retail market, the Swiss retail giant Migros has decided to withdraw completely from Germany and sell key parts of the supermarket chain Tegut to Edeka.

The decision marks the end of Migros’ long and costly attempt to establish a sustainable presence in the German grocery market.

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Migros Leaves the German Market

Migros announced that it will exit Germany in order to focus entirely on its core business in Switzerland.

According to Genossenschaft Migros Zürich (GMZ), the cooperative that owns Tegut, a purchase agreement has already been signed with Edeka for substantial parts of the Tegut business.

The move affects thousands of employees and hundreds of stores across several German states.

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Thousands of Employees Affected

The restructuring will impact a large workforce within the Tegut organization.

Tegut Workforce Overview

Category	Employees
Store employees	~6,000
Logistics & headquarters	~1,400
Total workforce	~7,400

The company operates roughly 300 stores throughout Germany.

According to Migros, Edeka intends to take over the majority of Tegut stores together with their employees.

Some locations may also be transferred to the retail group Rewe.

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Uncertainty for Headquarters and Logistics Jobs

While many retail jobs are expected to be preserved, the future of employees at Tegut’s headquarters in Fulda, its logistics center in Hünfeld, and the company’s bakery facilities remains unclear.

Migros stated that discussions are ongoing regarding possible solutions for these operations.

Employees were informed of the decision on Wednesday morning.

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Tegut Struggled for Years

The organic-focused supermarket chain has faced financial difficulties for years despite restructuring efforts.

In late 2024, the company already implemented a major cost-cutting program that included:

• 120 job cuts
• the sale of more than 30 stores

Despite these measures, Tegut continued to generate losses.

Tegut Financial Performance

Indicator	Value
Operating loss (2025)	~26 million CHF (~€30 million)
Total losses since 2013 acquisition	~€600 million

Migros acquired Tegut in 2013, hoping to strengthen its position in the growing organic food segment in Germany.

However, intense competition and the company’s relatively small scale made long-term profitability difficult.

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Difficult Market Conditions in Germany

Migros explained that despite significant cost reductions, the competitive environment in Germany’s grocery market continued to worsen.

The German retail sector is dominated by large discount chains and highly competitive supermarket groups, making it difficult for smaller chains with niche positioning to remain profitable.

According to Migros, an internal strategic review concluded that Tegut’s market positioning and relatively small size made the business not economically sustainable in the long term.

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Tegut Brand May Disappear

Although many stores will continue operating under new ownership, the Tegut brand itself may disappear by the end of the year, according to reports.

The final structure of the deal still requires approval from Germany’s Federal Cartel Office.

Migros stated that the decision to sell the chain was extremely difficult but necessary given the ongoing financial losses.

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Outlook

The sale of Tegut represents another consolidation step in Germany’s highly competitive grocery sector.

For Edeka, the acquisition could strengthen its regional presence, while Migros will now concentrate on its domestic Swiss market.

For thousands of employees, however, the future remains uncertain as Tegut’s restructuring progresses.

Source: hs