Metcash, Australia's biggest grocery wholesaler, Friday completed its transaction to acquire the Franklins chain of supermarkets from Pick n Pay Retailers.

When Metcash announced the deal on 1 July 2010, CEO Andrew Reitzer said consumers and independent retailers in NSW would be the big winners. Metcash said this remains the case today with the independent IGA network growing its market share in NSW from approximately 11 to 17 per cent, boosting its competitive position against the national chains.

In a deal that will revitalise the IGA brand in Australia’s largest city, Metcash has now acquired the 80 corporate-owned supermarkets plus supply to 10 franchised stores, all of them in New South Wales.

“Consumers can now look forward to the many benefits the stores will enjoy as a result of their alignment with Metcash and the national IGA network,” the company said.

Metcash said it will provide further clarification when it announces first-half 2012 results on 30 November but it remains confident that the acquisition, for which it paid approximately $215 million, will add in excess of $500 million of annual wholesale sales to Metcash’s business.