Aeon, Japan’s largest supermarket chain, is reportedly considering issuing shares in the company to help fund two acquisitions.
On Friday (13 October) Aeon said that it had entered into exclusive talks to acquire a 15% stake in Daiei from holding company Marubeni. It has also been suggested that Aeon could buy a 20% stake in supermarket group Maruetsu from Daiei. The combined cost of the acquisitions is valued at approximately JPY75bn (US$627m).
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It was reported in the Tokyo Shimbun newspaper that Aeon will sell JPY100bn of shares to fund the purchase. The newspaper did not cite sources.
Aeon shares, which have dropped by a total of 8% this year, were up 3.6% on Friday to JPY2,760.