Russia’s Magnit to Buy Dixy Retailer in $1.25 Billion Deal

Magnit PJSC, Russia’s largest grocery chain, plans to acquire Dixy Holding Ltd. convenience-store network in a 92.4 billion ruble ($1.25 billion) deal, a move that will boost its presence in Moscow and St. Petersburg.

The price may be adjusted on net debt and net working capital changes as of the closing date, according to a statement Tuesday. Pending regulatory approval, the deal is expected to close by Aug. 31, though that may be extended.

Russia’s biggest retailers, including Magnit and X5 Retail Group NV, are increasingly focused on low-income customers as incomes have stagnated since 2013, bolstering the success of ...