China Resources Enterprise has remained tight-lipped over reports it is among retailers looking to place a bid for one of Hong Kong’s leading supermarket chains ParknShop.
The retail chain was this month put under review by its parent, the retail-to-energy conglomerate Hutchison Whampoa. The firm said it was conducting a “strategic review” of ParknShop in order to “optimise value for shareholders”.
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Since then, China Resources Enterprise, the retail, food and beverage arm of China Resources Holdings, has become one of a number of companies reported to be considering a bid for the chain. Others include Japan’s Aeon, Australian retailer Woolworths Ltd and China’s Sun Art Retail.
The auction is also said to be generating interest from private-equity firms, Reuters noted.
China Resources Enterprise, however, told just-food it had “no comment on market rumour”. Aeon could not be reached for comment. Woolworths and Sun Art did not return a request for comment at the time of going to press.
On revealing news of the review earlier this week, Hutchison Whampoa said it did not have a definite timetable for completion and therefore there could be “no assurances” the process will result in any transaction being announced or completed.
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By GlobalDataParknShop claims to be the market leading food retailer in Hong Kong with a “significant” market position in Macau and south China. It operates 345 stores and had revenues of HK$21.7bn (US$2.80bn) in 2012.
A source told Bloomberg this week the supermarket chain could fetch $3bn to $4bn in a sale.
