Leading Thai retail group CP All has announced plans to sell shares in its cash-and-carry business Siam Makro, just one year after acquiring the franchise, according to Reuters.
Proceeds from the deal are likely to be used to refinance the group’s spiralling debt, which rose significantly after the US$6.6bn purchase of Siam Makro last year.
CP All currently holds a 98 stake in the Siam Makro, although it is unlikely to relinquish any more than 51 per cent of the wholesale chain, in order to retain the controlling share of the business. A timeframe for the sale was not disclosed.
Kriengchai Boonpoapichart, CP All’s head of finance and investor relations, said the company plans to invest over US$250m in its Thai stores this year.
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