Comprehensive foreign news reported on December 27, news that South Korea founded clothing manufacturer and retailer ELand (Yilan Group) plans to spin off its China business to list in Hong Kong, and has submitted a listing application to the Hong Kong Stock Exchange, the company intends to be listed in the form of a red-chip for the first quarter of 2008 for a public offering, the initial size of the fund-raising of 200-300 million U.S. dollars (about 1.56-2.34 billion U.S. dollars), UBS is the listing sponsor. UBS is the listing sponsor.
Founded in 1980 in South Korea, the group now has operations in South Korea, China, the United States, the United Kingdom, Vietnam and Sri Lanka, with more than 80 apparel brands in six areas: apparel and accessories, retailing, restaurants and hotels, home furnishings, real estate and IT. The group spent US$1.86 billion to acquire Carrefour in South Korea in '06, while total sales in '06 amounted to US$4 billion.
For its China business, ELand entered the China market in '94 with the establishment of Yilan Fashion (Shanghai), and has since expanded its business to first-tier cities such as Beijing, Qingdao, Dalian and Dongguan. The Group has branded stores in New World Department Store (0825) and Yintai Department Store (1833).
In addition to ELand commitment to strong growth in domestic demand listed in the first quarter of 2008 will have at least five with the concept of domestic demand of retail enterprises, to Hong Kong prospectus listing, including China Spring, Shenzhen Maoye, ITAT, Taiyo Department Store and spun off from Yue Yuen (0551) of the Baosheng Department Store, a total of **** raised nearly 20 billion Hong Kong dollars.
A spokesman for South Korean apparel maker and retailer Eland Corp. announced April 28 that the company will buy the South Korean branch of France's Carrefour, the world's second-largest retailer, for nearly $1.9 billion.
Earlier last month, Carrefour Korea embarked on negotiations with four bidders. In the end, Eland's bid was successful. The other three bidders were South Korean retail giant E-Mart, Lotte and Samsung Tesco Homeplus, a joint venture between South Korea's Samsung Group and leading British retailer Tesco.
Carrefour's decision to pull out of the South Korean market was attributed to the company's poor operation in the South Korean market, while Carrefour will increase its efforts to develop the Chinese and French markets. (Xinhua)