Tesco leaves Japan with tail between legs
Tesco has clarified how it will get rid of its underperforming Japanese business as it battles to resume top-line growth in the UK.
Tesco has clarified how it will get rid of its underperforming Japanese business as it battles to resume top-line growth in the UK.
Tesco entered Japan in 2003 through the acquisition of C2 Network, which ran stores under the Tsurakame brand.
The business currently comprises 117 small stores, primarily under the Tsurakame, Tesco and Tesco Express brands in the greater Tokyo area.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Tesco announced its decision to sell the business in 2011 but the situation has been made more urgent by the retail giant's recent profit warnings.
The exit will be in two stages process. In the first phase Tesco will sell 50% of its shares to Japan's largest retailer, Aeon, for a nominal sum.
This will result in the formation of a joint venture with Aeon. As part of this, Tesco will invest a further £40m to finance restructuring, after which Tesco will have no further financial exposure to the Japanese business or its operations.
Tesco shares have tanked 25% so far in 2012.
BS
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.
-
8 of the best riverside properties for sale
The best riverside properties for sale – from a Grade II-listed former mill house with views over the River Chelmer in Essex, to a townhouse on a Georgian terrace overlooking the Avon Gorge in Clifton, Bristol
-
Will “Liberation Day” strike again?
Donald Trump’s 90-day tariff pause comes to an end on 9 July. Can we expect further market turmoil?