SOURCE / COMPANIES
Suning’s acquisition of Carrefour’s Chinese assets approved by antitrust authorities
Published: Aug 27, 2019 02:27 PM

Chinese e-commerce giant Suning's deal to acquire 80 percent of the French supermarket retailer Carrefour's Chinese business has passed its antitrust check from Chinese regulators, according to a statement published by Suning on Monday. On Tuesday, Suning shares jumped 2 percent following the company's announcement and closed high with 1.89 percent rise.

According to a statement published by Suning, the company's acquisition was approved by the antitrust authorities of the State Administration for Market Regulation (SAMR) on Monday. SAMR said that it will not implement further investigations into the deal concerning the company's antitrust behaviors.

On June 23, Suning announced that it would buy an 80 percent stake in Carrefour's Chinese operations, an acquisition priced at 4.8 billion yuan ($670 million).

Carrefour's Chinese operations have around 30 million memberships and 210 supermarkets. Its outlets span 22 provinces in China. In 2018, the total revenue of Carrefour's Chinese business reached almost 30 billion yuan, according to a report by thepaper.com.

In the filing by Suning, the company said that after the acquisition, five out of the total seven seats on the supervisory board of Carrefour China will be filled by Suning, while Carrefour will retain the remaining two. Suning will also provide shareholder loans for Carrefour China's operation fund.


blog comments powered by Disqus