UK and SEOUL-Tesco has completed a massive $584 million (£355m) leaseback deal in South Korea with the real estate fund manager Samsung SRA. The deal involves four stores and associated mall properties in Tesco’s wholly-owned subsidiary Homeplus arm.
“This announcement further demonstrates the underlying value of our operations in Korea and the attractiveness of our property and business to investors,” the company said in a statement.
Samsung is a real estate fund manager focused on commercial real estate in Korea and internationally. UK-based Tesco entered South Korea in 1999 in a joint venture with Samsung, the company stated.
According to Tesco, Homeplus operates more than 550 stores and employs over 26,000 people with annual revenue of more than $8 billion. It serves about six million customers per week.
Tesco is a global retail competitor with Walmart.