Big C Casino Group
France’s Casino Group announced plans on December 15 to sell its Big C supermarket chain in Vietnam to cut its debts by more than USD2.2 billionnext year. In a statement on Tuesday, Casino, the majority shareholder in Big C supermarkets, will also sell some of its real estate in Thailand and Colombia, according to the Bangkok Post. HONG KONG/BANGKOK, Feb 7 (Reuters) - France’s Casino Group has agreed to sell its majority stake in Thai hypermarket operator Big C Supercenter for 3.1 billion euros excluding debt ($3.5 billion). His holding company, TCC Group, will buy Casino's 58.6% stake in Big C Thailand for 252.88 baht a share (US$7.10), a price that values Big C close to US$5.86 billion. The sale, expected to completed by 31 March, will allow Casino to reduce its debt level by €3.3 billion.
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The move is in line with the French company’s plans to cut its debt.
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The deal to purchase the controlling stake in Thailand’s leading hypermarket chain will cost tycoon Charoen Sirivadhanabhakdi’s holding company Bt252.88 a share.
An agreement between the two companies could be announced before the market opens in Asia this morning.
Responding to the Casino Group’s decision to divest its shares in Big C, Warunee Kitjaroenpoonsin, director of corporate affairs at Big C Supercentre, said Big C was a public listed company consisting of many shareholders, with Casino the majority shareholder.
Warunee said the decision to divest the stake was in line with what public listed companies did.
Warunee said that despite having a new majority shareholder, Big C would continue to follow its strategic priorities set for 2016.
They include a business expansion, with the opening of six hypermarkets, three Big C Markets and 75 Mini Big C stores.
Major renovations of seven Alcudia outlets are also planned this year, while Big C aims to maintain its brand-price leadership in the market.
Casino Group plans to sell Big C Vietnam
Dec 18, 2015
France’s Casino Group announced plans on December 15 to sell its Big C supermarket chain in Vietnam to cut its debts by more than USD2.2 billionnext year.
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Big C Casino Groups
In a statement on Tuesday, Casino, the majority shareholder in Big C supermarkets, will also sell some of its real estate in Thailand and Colombia, according to the Bangkok Post.
With 32 Big C outlets nationwide, including eight in HCM City, Big C ranks second among retailers in Vietnam after Co.op Mart. The sale of the Vietnam business could raise USD813.86 million for the firm, meanwhile, the value for Thailand and Colombia market is USD596.8 million and USD216.98 million respectively, Bruno Monteyne, an analyst at Sanford C. Bernstein, told Bloomberg news.
The Casino Group is also the second European retailer to announce plans to sell its Vietnamese business, following Germany’s Metro Group which announced in August last year to sell its Vietnamese cash-and-carry unit to Thailand’s Berli Jucker at USD879 million.
Casino Group said it will continue to focus on its key markets in France, Latin America and Asia after selling its assets in Vietnam, Thailand and Colombia.
Big C owns almost 800,000 square metres of gross leasable area in its shopping malls located in prime locations in Thailand and over 300,000 square metres in Colombia.
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Source: talkvietnam.com
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