Walmart says it plans to relist its Seiyu retail business in Japan on the stock market, freeing capital to focus on its China and India business units.
While the US retailer will retain a majority interest in Seiyu, it believes floating the unit will allow it to operate more independently.
The move is part of a three-year business plan for Seiyu, part of a broader push to reshape Walmart’s international business.
“As the parent loses the wherewithal to support low-performing overseas units, revamping those operations has become imperative,” observed Nikkei writer Kento Hirashima.
Walmart had previously been tipped to sell the Japanese business unit, but has discarded that option.
Seiyu also plans to expand its online grocery retail business and boost its range of fresh produce and prepared foods.
Walmart forged an investment and operational alliance in 2002 before Walmart took full control six years later and Seiyu was delisted from the Tokyo Stock Exchange.