Alibaba To Invest About $3.6 Bln In Sun Art Retail

(RTTNews) - Alibaba Group Holding Limited (BABA) said that it will invest about $3.6 billion in a Chinese hypermarket and supermarket operator Sun Art Retail Group that will raise its direct and indirect stake to about 72%.

As part of the deal, Alibaba will acquire 70.94% of stake in A-RT Retail Holdings, which currently holds about 51% of stake in Sun Art, from Auchan Retail valued at about HK$28.0 billion or $3.6 billion.

Alibaba said that it has appointed Peter Huang as Chairman of Sun Art in addition to his current role as Chief Executive Office.

As of June 30, 2020, Sun Art operates 481 hypermarkets and 3 mid-size supermarkets in China, with a focus on strengthening its position through small and offline community stores.