The world's third-largest food retailer, Ahold, has announced it will attempt to take full control of Chilean supermarket chain, Santa Isabel.
The move comes as an indirect result of financial breakdown in Argentina.
Last month Ahold took over Disco Ahold International Holdings in its entirety. The company had been a joint venture with Velox Retail Holdings. Velox defaulted on loan repayments and Ahold stepped in to buy the whole firm.
The chain of events becomes more complicated as once Ahold had full control of Disco Ahold International Holdings, it also had full control of the company's 69.7 per cent share of the Santa Isabel supermarkets.
Chilean law states that any foreign company that owns more than 66 per cent of a Chilean business is required to bid for the rest of the company.
According to the Financial Times, Ahold will therefore table a bid for the rest of the stock and become sole owner of Santa Isabel's 350 stores.
