Chinese retailer Suning.com has spun off a convenience store subsidiary in the second major change to its business structure this week.

Suning's convenience store brand Suning Xiaodian will be taken over by Yunzhixiang, a Nanjing-based retail and technology services company, public records show. Established in October 2018, Yunzhixiang is controlled by Zhang Kangyang, son of Suning founder and chairman Zhang Jindong. Zhang Kangyang is also an executive at Suning International Group.

Suning split off the subsidiary on Monday, the same day it announced the purchase of a controlling stake in Carrefour China, records show. The company declined to comment on the change in Suning Xiaodian’s ownership structure.

Suning Xiaodian, also known as Suning Stores, is growing fast but has yet to turn a profit. It opened its first store in Shanghai in January 2018, and now has over 5,000 branches across China. After the spinoff, Suning Xiaodian’s financial performance will not be recorded in Suning’s public fillings. 

Contact reporter Zhao Runhua (runhuazhao@caixin.com)