Dufry: forms joint venture with Chinese giant Alibaba
(CercleFinance.com) - Swiss travel retailer Dufry says it has entered a joint venture with Chinese e-commerce giant Alibaba as part of its strategy to grow on Asian markets.
Dufry, which operates travel retail businesses in China since 2008, said on Monday it had agreed with Alibaba to enter into a collaboration to jointly explore opportunities in China.
The parties will form a joint venture owned 51% by Alibaba and 49% by Dufry.
Alibaba will bring in its network in China and its digital capabilities, while Dufry will contribute its existing travel retail business in China to the venture, along with its supply chain, the companies said.
As part of the deal, Alibaba plans to invest in Dufry up to a maximum of 9.99% of its share capital and will participate in its recent capital increase.
Dufry said it plans to issue up to 25 million shares, which would result in potential gross proceeds of approximately 700 million Swiss francs, with the money to be used to finance the acquisition of the remaining stake in Hudson and to accelerate its digital transformation.
Copyright (c) 2020 CercleFinance.com. All rights reserved.