Tesco has finalised a deal with the state-run China Resources Enterprise (CRE) to create the largest food retailer in China.
The joint venture will combine Tesco’s 131 outlets in the country with CRE’s almost 3,000 stores, called Vanguard. CRE will own 80 percent of the new chain and Tesco will have a 20 percent stake.
Tesco said it would invest around GBP85 million (USD142.1m) in the joint venture. Once the venture has been finalised it will operate 12 stores retailing a range of products including groceries and home care products.
(Source: BBC News)