The supermarkets currently operate under the Joyce family’s independent brand and will be rebranded and designed as Tesco stores during 2022 on a phased basis. The acquisition is still subject to the approval of the Competition and Consumer Protection Commission (CCPC).

Staff at the supermarkets will become Tesco Ireland employees when the deal is complete.

As part of its commitment to Irish agri-food, Tesco also said it will engage with suppliers to the Joyce business to identify and develop opportunities.

Patrick C Joyce started the family business in Headford in 1951 with a small grocery store and followed this with a travelling shop and then developed into a general supermarket.

Pat Joyce took over the business in 1988 and since then nine more supermarkets have been opened in Knocknacarra, Athenry, Tuam, Inverin, Ballybane, Fr Griffin Road, Doughiska, Oranmore and Oughterard. The group employs more than 500 people.

Tesco Ireland chief executive Kari Daniels said the deal is part of the company’s strategic ambition to bring its quality and value to more customers:

“I look forward to bringing Tesco to more communities in Galway in the year ahead – this agreement provides a great platform for us to bring our value, quality and range of products to more customers,” Ms Daniels said.

“Pat Joyce, the management and wider team at Joyce’s Supermarkets have built a fantastic business over many years and there are great aspects of the Joyce business that can complement our Tesco offering,” she added.

Pat Joyce, Managing Director of Joyce’s Supermarkets, said the deal was a historic moment for his business.

“We have carefully considered the opportunity and are very pleased to pass our business on to an established brand in Tesco that promotes quality and excellence across its business, and which has an established presence in the Irish market,” he said.

“Should this acquisition be approved, I believe the move will be of significant benefit to them, and I would look forward to continuing our work well into next year as part of a transition period,” he added.

Tesco Ireland has 151 stores nationwide and five in Galway. It employs over 13,000 people in cities and towns around Ireland and partners with over 490 Irish suppliers

The company held 11.2% of the Irish grocery market at the end of 2020, according to Kantar. Its market share growth has continued into 2021 with the company’s market share now standing at 12.7%.

Aldi Ireland added 484 people to its workforce in 2020, growing its team to 4,460, and  said it paid €149m in wages and salaries in 2020, 14% more than 2019.

Niall O’Connor, Group Managing Director at Aldi Ireland, said its latest investment builds on the €1.6 billion it has already invested in Ireland and is a clear sign of its ambition, and the demand that exists for Aldi to be in more locations across Ireland.

“It’s also great news for Irish food and drink producers, who will have more opportunity to trade with Aldi. We will spend over €1 billion with Irish producers this year, an increase of almost 20% on 2020,” Mr O’Connor said.