Alibaba to sell major department store chain Intime

According to a report by the South China Morning Post, a newspaper owned by Alibaba, the company will sell the chain to the Chinese textile and apparel group Youngor.

The report noted that the parties are expected to announce the sale to the public within this week.

Alibaba acquired Intime, a major department store chain operating in mainland China, for 2.5 billion dollars in 2017. The acquisition was made as part of the group's strategy at the time to integrate its online and retail shopping channels.

In the last few years, the group, which has entered a restructuring process with a strategy to focus on its core technology-related business lines, is moving to divest its assets outside of the e-commerce and technology sectors.

RESTRUCTURING

In March 2023, Alibaba announced a restructuring plan in which the company would be divided into 6 business groups that would operate independently from the parent holding company.

It was planned that the company's flagship e-commerce platforms Taobao-Tmall, cloud computing services provider Cloud Intelligence, logistics services provider Cainiao Smart Logistics, Global Digital Business operating in digital business solutions, local technology services provider Local Services, and the Digital Media and Entertainment groups, which cover media and entertainment sector ventures, would operate as independently managed companies.

It was stated that the new restructuring aimed for each business group to have an independent presence in the market, chart its own path regarding competition, and create its own financing sources, including initial public offerings.

News Source: AA