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News  ›  Benzinga

From Grocery Giant To Produce Pauper: Can Sun Art Turn The Aisle?

Benzinga Logo Benzinga By Bamboo Works
From Grocery Giant To Produce Pauper: Can Sun Art Turn The Aisle?

Sun Art Retail Group, a former Chinese hypermarket leader, is struggling with declining revenues and profitability due to e-commerce disruption. After being sold by Alibaba, private equity firm DCP Capital is attempting a radical restructuring by closing unprofitable stores and focusing on midsize supermarket and membership store formats.

Insights
AVGO   positive

Noted as a top tech performer with strong earnings


BABA   neutral

Sold its stake in Sun Art at a substantial loss after failing to successfully integrate the retailer into its 'new retail' concept