Aeon, Australians in race for ParknShop

Japanese retailer Aeon may be the frontrunner to acquire Hong Kong supermarket chain ParknShop.

But it has rivals from China and Australia, according to regional media reports

State-owned China Resources Enterprise is reportedly eyeing a bid for the business, owned by Hutchison Whampoa.

So, too, are Chinese retailer Sun Art Retail Group and Australia’s two largest retail giants Woolworths and Wesfarmers.

Hutchison Whampoa hopes to raise as much as $4 billion from selling ParknShop and has set a deadline of August 16 for initial indicative bids. It wants to focus on its other retail businesses such as health and beauty chain AS Watson and consumer electronics and appliances store Fortress.

According to chief strategist Linus Yip of First Shanghai Securities, ParknShop is an attractive investment for foreign companies planning to seek growth in the Chinese market.

ParknShop has 345 stores in Hong Kong, mainland China and Macau. It is Hong Kong’s second largest supermarket operator after Dairy Farm International.

All five prospective bidders declined to comment on the report.

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