Retailer MINISO to buy nearly 30% stake in China’s Yonghui for $893 million

(Reuters) -MINISO will take up a 29.4% stake in retailer Yonghui Superstores for 6.3 billion yuan ($893.08 million), the household consumer goods retailer said on Monday, on track to becoming the largest single shareholder in the Chinese firm.

MINISO, a global retailer of trendy lifestyle products, will buy the shares from units of Singapore-based DFI Retail Group and Chinese e-commerce giant JD (NASDAQ:).com.

The purchase price will be 2.35 yuan per share, a 3.1% premium to the Yonghui stock’s close on Sept. 20.

Guangdong Juncai International Trading, the China-based unit of MINISO, struck the deal with various sellers, including a unit of DFI Retail, which belongs to British multinational conglomerate Jardine Matheson.

MINISO plans to fund the acquisition through internal resources and external financing.

($1 = 7.0542 renminbi)