Alibaba Group Holding Ltd acquires Sun Art Retail Group Limited

Alibaba Group Holding Ltd acquired Sun Art Retail Group Limited for $3.6 billion, a transaction completed in October 2020, structured as all cash, US$3.6 billion (RMB24.1 billion); a December 2020 mandatory offer added HK$4.9 billion (RMB4.1 billion). The deal was a Control step-up (~31% to ~67%).

Sun Art Retail Group Limited operates in New Retail / hypermarkets, is based in China. Sun Art is a leading hypermarket operator in China, listed in Hong Kong. Alibaba held about 31% before acquiring additional interest in October 2020 for US$3.6 billion, raising its effective stake to about 67% and consolidating Sun Art. A December 2020 mandatory general offer added further shares for HK$4.9 billion.

Deepen the New Retail strategy with a controlling stake in a national hypermarket operator.

National store network and grocery supply chain for New Retail fulfillment.

In October 2020, the Company acquired additional effective equity interest in Sun Art for a cash consideration of US$3.6 billion (RMB24.1 billion). Upon the completion of the transaction, the Company's effective equity interest in Sun Art increased to approximately 67% and Sun Art became a consolidated subsidiary.Alibaba Group FY2021 Form 20-F, business combinations note

Advisory firms were not disclosed for this transaction.

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