Li&Fung, a top global export trading company, announced to acquire the sourcing arm of German retailer KarstadtQuelle for 60 million euros (HK$594 million).
The deal will increase the group's procurement capability to 2 euros billion (HK$19.76); the deal is waiting for the approvement form the related authorities of German.
The group raised less than 2.45 billion by alloting the shares after the trading stop on Sept 13, which is enough to pay for the deal and there are remains for other acquisitions.
As a magnate of German retailing sector, KQ owns KQIS - its sourcing arm consisted of many related firms. KQIS the turnover last year reached to HK$11.35 billion, net profit HK$108 million. It owns a large network including 22 offices.