Car­refour to sell Malaysia re­tail busi­ness

The Pak Banker - - Front Page -

PARIS

Car­refour SA , France's big­gest gro­cer, agreed to sell its Malaysian op­er­a­tions to Aeon Co., Ja­pan's largest re­tailer, for 250 mil­lion eu­ros ($324 mil­lion). The sale was ef­fec­tive im­me­di­ately, BoulogneBil­lan­court, France-based Car­refour said in a Busi­ness Wire state­ment. Car­refour is the fourth-big­gest re­tailer in Malaysia, where it had 26 stores and 400 mil­lion eu­ros in sales in the 12 months through June 30, it said.

Car­refour is cut­ting jobs and ex­it­ing over­seas mar­kets it doesn't dom­i­nate to gen­er­ate cash and cut debt as part of a three-year turn­around plan for­mu­lated by Chief Ex­ec­u­tive Of­fi­cer Ge­orges Plas­sat. Aeon is ex­pand­ing over­seas amid a shrink­ing pop­u­la­tion in its home mar­ket.

Malaysia will be­come Aeon's South­east Asian head­quar­ters, the com­pany said in a state­ment to­day. The Ja­panese re­tailer plans to have 100 stores in Malaysia by 2020 as it ramps up ex­pan­sion across the re­gion.

"Asia is one of the very few ar­eas where we can ex­pect to see greater de­vel­op­ment as far as po­ten­tial eco­nomic growth is con­cern," Nagahisa Oyama, chief ex­ec­u­tive of­fi­cer of Aeon's ASEAN busi­ness told re­porters in Kuala Lumpur to­day. More ac­qui­si­tions are pos­si­ble in South­east Asia, he said.

Car­refour has agreed to sell its Colom­bian stores to Chilean re­tailer Cen­co­sud SA (CEN­CO­SUD) and plans to exit Sin­ga­pore by the end of the year.

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