Lianhua Supermarket plans to sell its supermarket business in Yangpu District, Shanghai, and Henan Province to its major shareholder, Bailian Group
Lianhua Supermarket plans to sell its supermarket business in Yangpu District, Shanghai, and Henan Province to Shanghai Dongran Industrial, a wholly-owned subsidiary of its major shareholder Bailian Group. The transaction amount is yet to be determined, and if completed, it will constitute a disclosed transaction and a related party transaction. Lianhua Supermarket stated that this asset divestiture aims to better focus on the development of its core business in Shanghai and Zhejiang
According to a report from Economic Information Daily on the 6th, Lianhua Supermarket (00980) announced that it plans to sell all of its shares in Shanghai Century Lianhua Supermarket Yangpu to its major shareholder, Bailian Group's wholly-owned subsidiary Shanghai Dongran Industrial, with the price to be agreed upon. If the transaction is finalized, it is expected to constitute a discloseable transaction and a connected transaction.
The group stated that Shanghai Century Lianhua Supermarket Yangpu operates large comprehensive supermarkets in Yangpu District, Shanghai, and Henan Province. If the transaction is completed, the group indicated that it will establish a management entrustment agreement to provide operational management services and resource support services to Yangpu Century Lianhua. The group aims to divest assets to better focus on the development of its core businesses in Shanghai and Zhejiang. (wh)
