Costco Wholesale Corp said on Thursday it bought the 45 per cent stake it did not already own in its Taiwan joint venture, Costco-Taiwan, for $1.05 billion.
The deal, executed through a unit, is expected to add to the company’s earnings per share by 1 per cent to 1-1/2 per cent, Costco said in a statement.
The membership-only retailer operates 833 warehouses globally, including 14 in Taiwan. It also runs e-commerce sites in the island.
The purchase comes at a time when Costco’s margins are being squeezed by higher costs arising from supply chain disruptions and the impact of the Russia-Ukraine war.
- Reporting by Ananya Mariam Rajesh in Bengaluru; Editing by Aditya Soni, of Reuters.