Feb. 24, 2010 (China Knowledge) - China Resources Enterprises Ltd<0291> is planning to acquire Hefei Shen Guo Tou Commercial Property Co, a property company in Anhui Province, for RMB 179.8 million, the Wall Street Journal reported.
The major asset of Hefei Shen Guo Tou Commercial Property was a 27,400 square-meter plot for commercial use. The Hong Kong-listed property company plans to build a four-story complex on the plot to run a large supermarket.
China Resources Enterprises has 34 stores in Hefei, but only one of them is a large-sized supermarket.
China Resources Enterprises said late last year that it would sell the entire 51% stake in a retail JV with Esprit Holdings<0330>to its JV partner for HK$3.88 billion.
After the stake sale, China Resources Enterprises will focus on its core businesses, including supermarkets, beer production, food processing and food distribution, while Esprit will continue to expand in the mainland market with two brands Esprit and RedEarth, according to an earlier report from China Knowledge.