By RTT News, October 06, 2013, 11:51:00 PM EDT
(RTTNews.com) - US retail giant Wal-Mart Stores, Inc. ( WMT ) is eying acquisitions in China as it looks to boost its operations in Asia, according to a report in the Wall Street Journal on Sunday. The company reportedly said it has revamped its practices and legal compliance division and is considering acquisitions in China.
This was reportedly revealed by Scott Price, head of Wal-Mart'sAsia division, on Saturday while speaking at the Asia Pacific Economic Cooperation conference in Bali, Indonesia.
The retailer plans to create a market share in Chinese cities where it has none or less operations through the proposed acquisitions in China. It wants to grow market share in Chinese cities where it is not already the No. 1 or No. 2 player.
Wal-Mart is also looking to boost its global operating margins by investing more in its successful operations in China and Brazil as it has seen declines in Canada, Mexico, Japan and the U.K.
Wal-Mart , the world's largest retailer by sales, sees Asia as a key market to take forward its global expansion plans and is said to be considering deals with foreign companies in China.
Wal-Mart's online arm Yihaodian has already double its number of users to 24 million users from 2012. Wal-Mart acquired a 51 percent stake in Yihaodian last year.
Meanwhile, Walmart continues to improve the efficiency of its supply chain, sourcing high quality and competitive merchandise from more than 70 countries around the world. Among these are 12 APEC economies, including Australia, Canada, Chile, China, Indonesia, Malaysia, Mexico, Peru, Taiwan, Thailand, the US and Vietnam.
According to reports in mid-August, Walmart was said to have been in the fray to acquire Hong Kong-based ParknShop supermarket chain. The chain is owned by billionaire Li Ka-shing's Hong Kong-based multinational conglomerate Hutchison Whampoa Ltd. (HUWHY.PK, HUWHF.PK).
WMT closed Friday's regular trading session at $72.80, up $0.98 or 1.28% on a volume of 7.59 million shares.
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