●What is the news ?
•Chinese e-commerce giant Alibaba Group Holding Ltd and partners have invested $400 million in the retail unit of Vietnamese conglomerate Masan Group Corp.
•The deal will expand Alibaba's presence in Southeast Asia after its $4 billion investment in e-commerce firm Lazada in 2018.
•The CrownX, the company said in a statement,the consortium, which includes Alibaba Group and Baring Private Equity Asia, has paid for a 5.5% stake in Masan's retail arm .The CrownX, is valued under the deal at $6.9 billion, equivalent to $93.50 a share. Parent company Masan will hold 80.2% of retail unit.
●Things to know more
•The CrownX will work closely with Lazada to accelerate our digital transformation into an 'all-in-one' platform to serve consumers' both offline and online purchases," Masan said in the statement.
•The company said it was in talks with other investors on an additional investment of between $300 million to $400 million in The CrownX with that deal expected to close in 2021.
•“Our immediate priority is to modernize Vietnam’s grocery market and develop an unparalleled consumer proposition from assortment to shopping experience,” said Danny Le, chief executive officer of Masan Group.
The CrownX is targeting online gross merchandise value to account for at least 5% of total sales in the coming years.