German cash and carry operator Metro has rejected an offer from Thai company CP Group to buy its Vietnam business for more than $500 million.

“Our Vietnam business is not for sale,” said a Metro spokesman.

Metro operates 19 cash and carry stores in Ho Chi Minh City and Hanoi.

CP Group has been embarking on acquisitions to expand its business domestically and overseas. It has bought a stake in Chinese insurance company Ping An and has acquired discount store chain Siam Makro.

Meanwhile, Metro, which has more than 2200 stores in 32 countries, is divesting non-core businesses and exiting unprofitable markets. It has ceased the operations of its consumer electronic stores Media Markt in China due to cutthroat competition.

However, the company says Metro remains bullish about its prospects in China.