Thread: Carrefour to exit Thailand, Singapore and Malaysia

Originally Posted by Humbert

I think they were stupid to announce the fact they are leaving in the press. They should have hired someone like Goldman-Sachs to look for a buyer.
Now customers will be reluctant to buy big ticket electronics from them for fear of having difficulties with returns.

From the OP:
Carrefour is working with investment banks Goldman Sachs and UBS on the auction, which is expected to generate interest from both corporate buyers and private equity firms, the sources said on Monday.

Carrefour, Goldman and UBS declined to comment....


TH

Thai group eyes Carrefour
Jul 7, 2010

Carrefour has launched the sale of units in Malaysia, Singapore and Thailand, sources with direct knowledge of the matter told Reuters on Monday, in a deal that could raise around US$1 billion (S$1.4 billion) for the retailer.
PHOTO: REUTERS

BANGKOK - SHARES in Thai conglomerate Berli Jucker surged nearly 30 per cent at one point on Wednesday on speculation the company might offer to buy the Thai business of French retailer Carrefour.

Carrefour has launched the sale of units in Malaysia, Singapore and Thailand, sources with direct knowledge of the matter told Reuters on Monday, in a deal that could raise around US$1 billion (S$1.4 billion) for the retailer.

Analysts said potential buyers for the Thai stores could be British-owned Tesco Lotus, Big C Supercenter, Thailand's second-biggest hypermarket operator, and Berli Jucker. Finansia Syrus Securities said in a note it saw Berli Jucker as frontrunner as it had ample cash.

The Bangkok Post daily reported the French firm had approached potential buyers and might seek bids by early September. It said Carrefour operated at 38 locations in Thailand and the Thai business might have a value of US$500-600 million.

Bloomberg news reported that the retailer will consider selling the units separately as potential buyers may not be interested in bidding for all three combined, according to two of the people. Carrefour's Thai business may have a value of US$500 million to US$600 million, while the Malaysian and Singapore operations may be valued at US$350 million to US$400 million, the people said.

Carrefour plans to retain its units in China and Indonesia, they said. -- REUTERS

straitstimes.com

These kinds of things can have a disastrous effect on sales. Hopefully they will parcel off their various branches and logistics facilities. Their inventories will need to be liquidated at some point which will mean great bargains.

or worst when you look at the lost jobs.

Originally Posted by Gerbil

Originally Posted by zygote1

I can't believe the Walmart comment. What exactly does Walmart bring to the table? Products that break as soon as you get them home? Prices that are so low that the suppliers cut corners on quality to meet the pricing demanded from Walmart? A history of employing illegal workers? Extremely poor working conditions? Stores that are filthy and filled with white trash? I was a big fan of Walmart long ago, but then I came to realize that Walmart and quality are not compatible. I flushed the toilet.

Sounds like they'd fit in perfectly here.

I have NEVER had any problems returning a defective product to Walmart. Not even once. Almost no questions asked. Yes, they treat their employees like garbage, (I even mentioned in my posting that they were not nice people) but they do run a good store.

Originally Posted by dotcom

Originally Posted by BobR

Their price is higher than Tesco and Big C on most everything.

That is utter bullshit.

You are welcomed to disagree with me, but using the language you did is without justification or purpose.

Originally Posted by panama hat

Originally Posted by Humbert

Common sense as usual, PH.

Thank you, but you outdo me with this:

Originally Posted by Humbert

I think they were stupid to announce the fact they are leaving in the press. They should have hired someone like Goldman-Sachs to look for a buyer. Now customers will be reluctant to buy big ticket electronics from them for fear of having difficulties with returns.

Odd how big multinationals are carp at PR, though I do believe this informatio was leaked? I could be wrong, of course

Do Carrefour read TD:
Channel NewsAsia - Carrefour says not closing any stores in Singapore, Malaysia - channelnewsasia.com

In Pinklao we have a choice of Tesco or Tops.
I do my daily shopping at my local Tesco Talart.
Enery Saturday it's off to Tops market Place. Here they have a huge range of imported food at what I deem to be ridicuously high prices.
They have recently bought in some German frozen food.
eg Weiner Scheitzel at 2 small servings at 520 Baht.
having been here for so long I fathom the cost difference between Thailand and Oz, but paying 260 Baht for 1 seems to be over the top.

Carrefour opts out on unique reason: Korn
Wichit Chaitrong

Finance Minister Korn Chatikavanij mentioned today that the decision of Carrefour, the world's second largest retailer, to leave Thailand does not signal low confidence among foreign investors.

He noted that the Thai domestic market is large with over 60 million population.

Even Tesco Lotus is so successful that small retailers are complaining, he noted.

Carrefour made the plan to exit Thailand, Singapore and Malaysia.

Central Retail Corp expresses interest in taking over its business in Thailand.

Korn also told reporters today that he would seek a discussion with the Labour Minister on the minimum wage adjustment for the long term.

An informed source at the Finance Ministry said that Korn has assigned a study on the minimum wage hike.

nationmultimedia.com

Carrefour denies store closures in Malaysia, Singapore
วันพฤหัสบดี ที่ 08 ก.ค. 2553

French supermarket giant Carrefour denies that its stores in Malaysia and Singapore will close following reports that it will shut down its Southeast Asian outlets

mcot.net

unique reason: Korn

hmmmm......................

So maybe Central Group is using its Amart connections to chase away the competition? Hmm. Let's see if Tesco stays the course. If that happened - only one retail group would control 90% of the big box supermarkets. Central.

(Big C and Tops are owned by the Central Group family - one of the oldest and most established chinese merchant familes - and were the target (apparently) of the Reds' arson attacks)

Originally Posted by helge

Do Carrefour read TD:
Channel NewsAsia - Carrefour says not closing any stores in Singapore, Malaysia - channelnewsasia.com

Local news here also disputes claims that Carrefour is closing in Malaysia . . .

If this is a well-thought-out negative publicity campaign by some competitors . . . I wonder how Carrefour sales were affected

Panic buying...I was in Carrefour twice yesterday.

"Carrefour belie any closure of stores in Malaysia and Singapore, noting that the activity is normal for all stores.
In 2010, four Carrefour hypermarkets were opened in Malaysia and four more scheduled to open by the end of the year.
Asked by AFP about Thailand, Carrefour declined to make comment."

-Le Parisien-

If everyone os rushing in to Carrefour then Carrefour must be loving this publicity if it isn't true...

H'mm, I think someone deliberately leaked this. I doubt Carrefour is amused.

Any word on how soon they would close/cease (Thailand Ops)? Otherwise, stocking up on goods that will expire is kind of pointless if they're still open six months from now..

If this goes ahead, Central Group and CP will have cornered the grocery market with only Tesco as the remaining competitor.

Originally Posted by Mid

The Bangkok Post daily reported the French firm had approached potential buyers and might seek bids by early September. It said Carrefour operated at 38 locations in Thailand and the Thai business might have a value of US$500-600 million.

that doesn't sound like much,

There are too many people working for these big corporations with MBA's but not a bit of common sense to go with it.

Are not Tesco and Walmart in collusion? Or am I yet again a victim of disinformation?

Excellent shop --their bread and cakes are the best

Originally Posted by Tom Sawyer

If this goes ahead, Central Group and CP will have cornered the grocery market with only Tesco as the remaining competitor.

Why CP? 7-11 is a convenience store not a full line grocery store.
Tesco Lotus, Tops and Big C which are Central Group operations, The Mall which operates groceries in several locations, Makro, Foodland and Villa are still in the game.