Alibaba Sells Sun Art Stake to DCP Capital for $1.6 Billion, Shifting Focus Back to Online Commerce

Benzinga

Alibaba Group Holding Ltd. has agreed to sell its over 70% stake in Sun Art Retail Group Ltd. to private equity firm DCP Capital for up to $1.6 billion. The sale marks a significant retreat from Alibaba's physical retail investments as it shifts focus to its core online commerce operations under CEO Eddie Wu. The divestment comes at a loss, with Alibaba having paid $3.6 billion in 2020 to double its stake in Sun Art, now valued at about $3 billion. Sun Art's shares dropped 35% in Hong Kong trading, while Alibaba's shares slid more than 1%.

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00:00It's Benzinga bringing Wall Street to Main Street.

00:02Alibaba Group Holding Limited has agreed to sell its over 70% stake in SunArt Retail Group Limited

00:07to private equity firm DCP Capital for up to $1.6 billion. The sale marks a significant

00:13retreat from Alibaba's physical retail investments as it shifts focus to its core

00:18online commerce operations under CEO Eddie Wu. The divestment comes at a loss with Alibaba

00:24having paid $3.6 billion in 2020 to double its stake in SunArt which is now valued at

00:30about $3 billion. SunArt's shares dropped 35% in Hong Kong trading while Alibaba's

00:35shares slid more than 1%. For all things money visit benzinga.com slash gstv

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