Britain’s House of Fraser Sold Out by Chinese Owner
A company backed by real estate conglomerate Sanpower Group is selling the historic British department store operator House of Fraser, four years after purchasing the storied but struggling traditional retailer.
Nanjing Xinjiekou Department Store Co. Ltd., which is 27% owned by Sanpower, announced the sale of its 51% stake in House of Fraser Group Ltd. in a filing to the Shanghai stock exchange on Wednesday, saying the move was part of a reorganization (link in Chinese) . It said the sale includes House of Fraser stores that are mostly located in Britain, but also one in its hometown of Nanjing and the city of Xuzhou.
It said it would sell the stake for cash to a Nanjing-based tourism company called Five Seasons, but did not disclose a price. The Shanghai-listed company said it had requested a continuation of a previous share-trading suspension in light of the announcement, but added it anticipates trading will resume within a month.
Sanpower made headlines in 2014 when paid 480 million pounds ($666 million) for 89% of the storied chain, which traces its history back to 1849 when it began as a store selling draperies. Sanpower said at the time of the purchase that it wanted to expand the chain beyond Britain.
In its latest annual report, House of Fraser called the 52 weeks ended Jan. 28, 2017 a “very challenging year,” citing Britain’s decision to leave the European Union along with a rapidly changing retail environment. The company reported its revenue grew slightly to 836 million pounds, from 826 million pounds a year earlier. Its net profit before exceptional items for the period grew to 9.5 million pounds, roughly triple the 3.1 million pounds a year earlier.
Sanpower also counts U.S. niche retailer Brookstone, Israeli healthcare service providers Natali and A.S. Nursing Welfare among its other overseas assets, according to its website. Last year the Chinese company also agreed to pay $820 million for U.S. biotech firm Dendreon Pharmaceuticals.
Contact reporter Yang Ge (email@example.com)
Nov 13 23:24
Nov 13 20:13
Nov 13 19:50
Nov 13 18:27
Nov 13 17:05
Nov 13 17:27
Nov 13 16:05
Nov 13 14:09
Nov 13 13:42
Nov 13 12:06
Nov 13 11:15
Nov 13 10:18
Nov 13 06:12
Nov 13 03:53
Nov 12 17:25
- 1China’s Manufacturing Sector Expands at Fastest Pace in Nearly Three Years, Caixin PMI Shows
- 2China Will Create ‘Space Economic Zone’ by Midcentury: Report
- 3Swiss Telecom CEO Explains Why He’s Sticking With Huawei
- 4China Revamps Undergraduate Studies, Tapping Controversial Talent Program
- 5Alibaba’s Sales Surge 40% and Profit Triples
- 1Power To The People: Pintec Serves A Booming Consumer Class
- 2Largest hotel group in Europe accepts UnionPay
- 3UnionPay mobile QuickPass debuts in Hong Kong
- 4UnionPay International launches premium catering privilege U Dining Collection
- 5UnionPay International’s U Plan has covered over 1600 stores overseas