1 March 2007 — Shenzhen (CHN): Wal-Mart won approval from the Chinese government to acquire a 35 percent stake in Bounteous Company in a deal thought to be worth $1 billion.
Taiwan-based BCL operates 101 hypermarkets across China trading as Trust-Mart.
Wal-Mart has said that although the two retailers will continue to trade separately, there is scope for Wal-Mart to acquire the controlling stake in BCL by 2010, making the American company the biggest retailer in China.
Michael Duke, Wal-Mart’s vice chairman, said: "Through this investment in Trust-Mart we have the opportunity to expand our presence in China, one of the fastest-growing retail markets."
He continued: "This is an important step in bringing our additional scale to our China retail business."
Financial terms of the transaction have not been disclosed.