British supermarket Tesco revealed recently that they’ve sold their business in South East Asia – Malaysia and Thailand – to Thai company Charoen Pokphand (CP) Group for an enterprise value worth of $10.6 billion (RM44.6 billion).
It is safe to assume that the selling of their franchise in both Malaysia and Thailand could be one of the giant retail chain’s strategies in focusing their marketing in their home country of UK.
For those who don’t know, CP Group is a company that owns several other hypermarkets such as Macro as well as Tesco Lotus. Not only that, the Bangkok-based is also famous for its chain of instant foods available in several convenience stores and supermarkets in Thailand as well as across the country.
Based on the total value of Tesco’s proposed branch transition, CP Group is reportedly willing to pay $9.9 billion (RM41.71 billion) and $700 million (RM2.95 bilion) to its Thai and Malaysian franchise respectively.
Having said that, the transfer of ownership of these two branches most likely see any significant changes in an attempt to maintain Tesco’s signature branding and its own identity among Malaysians.
Are y’all excited for what CP Group has to offer following the acquisition of Tesco Malaysia?