Eight bids received for Li Ka-shing's ParknShop
Supermarket chain ParknShop has received eight bids, sources said. Li Ka-shing's ports-to-grocery conglomerate Hutchison Whampoa, which has reportedly set a US$4 billion price tag for the retail chain, had asked for the bids to be submitted by yesterday, the sources said.
Supermarket chain ParknShop has received eight bids, sources said.
Li Ka-shing's ports-to-grocery conglomerate Hutchison Whampoa, which has reportedly set a US$4 billion price tag for the retail chain, had asked for the bids to be submitted by yesterday, the sources said.
Most large international private equity firms have shown little interest in buying mature assets, given that sales growth potential in Hong Kong's retail market comes nowhere close to the industry benchmark annual return of 20 per cent
The company said in a statement yesterday that "AS Watson is still conducting a strategic review of its supermarket retail business ParknShop" and that the subsidiary "has not set a definite timetable for completion of its review, and the process may or may not result in a transaction being announced".
According to the sources, eight global retailers submitted their business plans and valuations of the supermarket chain.
The market buzz is that state-backed retailer China Resources Enterprise is interested, as is US major Wal-Mart Stores and Japan's retail giant Aeon.
However, a source close to China Resources Enterprise earlier told the that it was not keen on ParknShop.
