Among the foreign retail enterprises, in addition to Wal-Mart, Carrefour, Metro and even TESCO Tesco, B&Q, and Home Depot have all been acquired by local retail companies or have withdrawn from the Chinese market.
Editor’s note: This article is from WeChat public account “Soul Beast” (ID: lingshouke), the author is ten miles.
Ling beasts: In addition to Wal-Mart, Carrefour, Metro and even TESCO Tesco, B&Q, Home Depot, etc. have all been acquired by local retail companies or have withdrawn. Chinese market.
Another foreign retailer has changed its fate in the Chinese market.
Yesterday, Metro, Wumart and Dmall jointly announced that Wumart had signed a definitive agreement with Metro Group for the acquisition of Metro China. After the transaction is completed, Wumart Group will hold 80% of the shares in the joint venture established by the two parties, and Metro will continue to hold 20% of the shares. More points will become a technology partner of Metro China.
Metro said that after the transaction is completed, the Metro Group is expected to receive a net income of more than 1 billion euros. The transaction valued the total value of the company in Metro China at 1.9 billion euros. Both parties to the transaction are expected to complete the delivery by the second quarter of 2020 at the latest.
At this point, in addition to Wal-Mart, Carrefour, Metro and even TESCO Tesco, B&Q, Home Depot, Best Buy, etc. have all been acquired by local retail companies or have withdrawn from the Chinese market. Of course, there are also Costo and ALDI (Olezi) who have just entered, but these two foreigners have just completed zero breakthroughs in the Chinese market. How to change the number in the future is not yet a climate.
In other words, in the future Chinese retail market, if there is still a drama in the foreign giants, it will leave Wal-Mart alone.
Does this be the final end of a group of foreign retailers that have entered the Chinese market?
It’s worth noting that in doubleIn the agreement, Metro China will continue to operate independently under the “Metro” brand in the future, and the management team of Metro has survived.
After the acquisition news, Metro China President Kant also issued an internal letter for the first time, saying that the joint venture company will retain the current management team and maintain the current number of employees. Metro China does not have any layoff plans, and all employee benefit plans remain unchanged. change.
“The Beast” learned that the headquarters of the new joint venture remains at the China headquarters of Shanghai Metro. Metro will receive two seats in the new company’s seven-person board of directors and will continue to play a role in corporate governance. In addition, a special quality control committee led by representatives of Metro Group will also be fully involved, in order to monitor and ensure the joint venture continues to meet the criteria in Metro Global quality and operational standards.
Further reading: on commercially successful Why is Metro sold?
In the past six months, Metro’s “selling” news has been mentioned more and more frequently, especially in the final stage. The rumors clearly pointed out that the companies that have entered the bidding for Metro China’s business are only Wumei and Yonghui, and from today’s As a result, the beauty of the material will be more radical than Yonghui, and it will have an advantage in terms of price and resources before it will take over.
As for why Yonghui did not “swallow” Metro after Carrefour, there is currently no clear statement. But in any case, losing Carrefour may not be a big loss, but losing Metro should not be the result of Yonghui.
There are also people in the industry who tell “The Beast” that Wumart may be more flexible in terms of payment methods than other competitors. This is one of the reasons why it ultimately won the bid for Metro.
In January of this year, Kant made it clear to “The Beast” that Metro would not withdraw from the Chinese market and gave a specific “portrait” of Metro’s ideal partner:
One is to allow Metro to be closer to customers, increasing digital drainage and customer access;
The second is that it can help Metro quickly improve its digitalization and realize the innovation of order implementation and delivery model;
The third is to help Metro get a more marketable