Supermarket chain attracts buyers

Shares in Beijing supermarket chain Wumart Stores leapt yesterday as investors sought exposure to the mainland retail sector.

Wumart shares rose as much as 32.63 per cent to an intraday high of $8.25 in their debut on the Growth Enterprise Market yesterday. They settled at $7.05, up 13.34 per cent from the initial offer price of $6.22.

Although the initial public offering was well received, BOC International analyst Mario Zhu preferred Shanghai peer Lianhua Supermarket because of its stronger market position and business scale.

'Wumart's business remains limited mostly to the Beijing area, while Lianhua is already executing its national expansion plan,' Mr Zhu said.