Stock market data for Sun Art listed in Hong Kong

Alibaba Sells 78.7% Stake in Sun Art to DCP Capital for $1.6 Billion, Focusing on Online Business

Jan 1, 2025, 03:41 PM

Alibaba Group Holding Ltd has agreed to sell its majority stake in the hypermarket chain Sun Art Retail Group to Chinese private equity firm DCP Capital for approximately $1.6 billion (HK$12.298 billion). The sale includes a 78.7% stake previously held by Alibaba subsidiaries. This move comes after Alibaba initially invested around $3.6 billion in 2020 to increase its stake in Sun Art to over 70%, aiming to integrate its digital capabilities with Sun Art's hundreds of hypermarkets in China. The decision to divest follows an 85% jump in Sun Art's shares in Hong Kong over the past year and is part of Alibaba's strategy to refocus on its core online business, amidst a broader restructuring of its business portfolio.