Wal-Mart eyes Hong Kong supermarket chain
by August 7, 2013 10:26 am 78 views
Wal-Mart Stores Inc. is reportedly considering a bid for a Hong Kong supermarket chain ParkNShop valued at $4 billion, by owner Whompoa Ltd., according to Reuters.
The deadline for bidding is set for Aug. 16, sparking interest from corporate suitors and private equity buyers.
Wal-Mart announced earlier this year it would open 100 new stores in China by 2016. Acquisition is the quickest way for the retail giant to accomplish that goal as there are formidable infrastructure costs and logistics challenges with building from the ground up in China.
The Bentonville-based retailer already operates 380 stores in China and continues to transform those operations into its “productivity loop” that allows for everyday low prices for consumers and everyday low costs of goods for the retailer.
Wal-Mart declined to comment on the proposed bid.