SPAR has entered the Icelandic retail market by opening two supermarkets, following a licensing agreement between SPAR International and Icelandic company Drangar hf.
The deal was formalised in early 2026.
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Drangar hf is developing the brand locally through its retail subsidiary Samkaup, which will oversee operations and grow the store network, drawing on SPAR International’s sourcing capabilities and retail practices.
The first location, Spar Hafnarfjörður, opened last week with a sales floor of more than 300m², stocking over 3,600 products.
The store’s offer centres on fresh produce, bakery, coffee, food-to-go and convenience groceries.
The second outlet, Spar Barónsstígur, is situated in Reykjavik and covers approximately 440m², carrying more than 4,000 products.
It is positioned to serve residents, commuters and tourists, with a similar emphasis on fresh food and convenience.
Expansion is planned via a conversion programme, through which the existing Krambúð, Kjörbúð and 10–11 retail brands will be brought under the Spar banner.
Spar Iceland said it aims to become a “market-leading convenience and supermarket operator” in the country, catering to both domestic shoppers and the approximately 2.5 million tourists who visit each year.
In its statement, the company said: “The opening of the first SPAR stores marks the entry of the internationally renowned brand into Iceland. SPAR Iceland will place strong emphasis on freshness, convenience, and a broad grocery assortment available to customers at competitive prices.
“Through the partnership between Spar International and Drangar hf, the Spar brand will be developed utilising international best practice to complement local expertise.”
The Icelandic entry follows Spar’s move into North Macedonia last month through a licensing arrangement with Kosovo-based Viva Fresh Group, which has opened two stores in Skopje under the Spar and INTERSPAR brands.
Viva Fresh Group, which received the licence earlier this year, has announced plans to roll out 65 stores under the Spar brand within 12 months, backed by a €43m ($50m) investment.
