Wheelock plans to divest its retail portfolio
Conglomerate Wheelock & Co has proposed divesting its entire retail portfolio including Lane Crawford and City Super department stores and Joyce Boutique in a $589.8 million reorganisation.
Lane Crawford and Joyce will be sold to a trust related to Wheelock chairman Peter Woo Kwong-ching's family for $422.8 million.
City Super, featuring a large amount of merchandise imported from Japan, will be sold to Wheelock's associate Wharf Holdings.
The reorganisation is the latest privatisation among blue chip conglomerates such as New World Development, Henderson Land and Hung Lung Properties.
The companies are seeking to unlock asset value and boost returns at a time of depressed real estate and stock market valuations.