Supermarket giant Tesco strengthened its presence in China today by taking control of a chain of 44 hypermarkets.
Tesco previously held a 50 per cent stake in the Ting Cao venture, which owns the Hymall stores, but will now increase the share to 90 per cent following a deal with partner Ting Hsin worth around £180 million.
The Hymall chain operates 16 stores in Shanghai and will open its first store in the capital in the New Year. The Beijing site will be the first in China to feature the Tesco name, alongside the existing Hymall brand.
Tesco said the deal would enable it to accelerate growth in China whilst continuing to benefit from Ting Hsin's local knowledge.
It plans to grow the business in three areas - the north including Beijing, the east including Shanghai and the south in cities such as Guangzhou.
The group's expansion in China led one analyst to forecast that Tesco will achieve total sales of around £110 billion in ten years' time.