The move denotes Suning’s desire to open up to the offline market during 2019
The Suning.com site – listed in Shenzhen, one of the largest online B2C retailers in China – has announced that it will buy 37 department stores from the Wanda commercial property group located in the Chinese first and second tier cities.
President Zhang Jindong said that this is a key move for the company which, in the course of 2019, wants to strengthen its presence online and offline. Throughout the maneuver certainly falls affiliation with the offline retail giant Suning Group, of which Taobao holds about 20%.
Wanda Group, since 2015, has seen a drop in revenues from its shopping centers
Wanda Group, a multinational conglomerate with interests in property and entertainment, at its peak of business had up to 100 department stores. More than 40, however, were closed in the second half of 2015, due to unsatisfactory performance.
In 2015 the Wanda department stores generated revenues of RMB 23 billion ($ 3.39 billion). Since then, Wanda Group has ceased to report this revenue in its financial statements.
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