Indonesia's Matahari says South Korea's Lotte among four interested in acquiring majority

Indonesia's Matahari says South Korea's Lotte among four interested in acquiring majority

2010-12-03 01:26:24 GMT+7 (ICT)

JAKARTA, INDONESIA (BNO NEW) — Indonesia's Matahari Putra Prima on Thursday announced that there are four retailers lined up and interested in obtaining the majority shareholder.

Matahari is selling Hypermart, the nation's second-biggest hypermart chain after Carrefour Indonesia, which is estimated to be worth up to approximately $1 billion, in order to focus on its core health care and property assets.

With currently 51 hypermarkets, 25 supermarkets, 53 pharmacy outlets, Matahari presents an interesting investment opportunity as Indonesia's economy is expected expand by 6 percent this year.

Among the interested retailers is South Korea's Lotte Group, which already has 21 Lotte Shopping outlets. Last month, reports said Wal-Mart and a private equity fund, Carlyle Group, was also interested.

Indonesia has been having a strong economic growth in the past years, and bidders could find themselves immersed in the Indonesian market, which is constantly increasing its consumer spending as per-capita income is close to $3,000, and its population lists as one of the world's highest with 237 million people.

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