Wal-Mart Sells South Korean Retail Business
Shinsegae is South Korea's leading retailer with 79 E-Mart hypermarkets in the country. It will continue to operate Wal-Mart Korea's 16 stores but rename them E-Mart.
23/05/06 Wal-Mart Stores, Inc. has announced that Shinsegae Co. has agreed to purchase the company's South Korean retail business for Won 825 billion (US $882 million).
Shinsegae is South Korea's leading retailer with 79 E-Mart hypermarkets in the country. It will continue to operate Wal-Mart Korea's 16 stores but rename them E-Mart.
"As we continue to focus our efforts where we can have the greatest impact on our growth strategy, it became increasingly clear that in South Korea's current environment it would be difficult for us to reach the scale we desired," said Duke. "We have decided to sell our business to the market leader as we believe this is the best option for our associates, customers and shareholders", said Mike Duke, Vice-Chairman of Wal-Mart.
"Our very capable associates in South Korea have made strong contributions to our business," continued Duke. "We are confident they will continue to have growth and career development opportunities as part of Shinsegae. We will work closely with Shinsegae to have a smooth transition."
Wal-Mart will continue to have a Global Procurement sourcing office in Seoul. Wal-Mart stores in the United Kingdom, United States, Mexico and other markets carry South Korean products including apparel, plush toys and home textiles.
