FamilyMart said to mull sale of HK retail business

by BLOOMBERG

HONG KONGFamilyMart UNY Holdings Co Ltd, Japan’s second-largest convenience store operator, is considering a sale of its Hong Kong retail business, people with knowledge of the matter said.

FamilyMart is working with a financial advisor to gauge potential buyer interest in its three stores in the Chinese territory, according to the people. It is seeking to fetch close to US$100 million (RM406 million) from any sale, one of the people said, asking not to be identified as the information is private. Deliberations are at an early stage, and FamilyMart could decide to keep the business, the people said.

Any deal will add to the US$26.5 billion of retail acquisitions in Asia this year, up from US$19.8 billion during the same period in 2016, according to data compiled by Bloomberg.

In Hong Kong, FamilyMart runs department stores targeting the city’s affluent middle class under the Apita, Piago and Uny brand names. They sell stationery, clothing and food ranging from fresh local produce to imported chocolate, wine and wagyu beef.

Sales in Hong Kong’s supermarket industry fell 0.1% in the first 10 months of the year, lagging the 1.2% gain in the city’s overall retail industry, government statistics show. — Bloomberg