BELLE Intends To Sell Apparel Retailer Barok 2 Million 719 Thousand Shares In Japan

Yesterday,

The company announced that BELLE intends to sell

Barok, a retailer, has 2 million 719 thousand shares in Japan and an additional sale of 672 thousand and 900 shares. The paction is expected to be completed in November.

After the deal, BELLE still holds.

Japan's 18.6% stake is expected to yield up to 276 million yuan, or about 321 million Hong Kong dollars.

Among them, the net proceeds from the proposed sale amounted to HK $446 million -5.56.

For the sale of BELLE shares, the industry speculated that the result is sustained decline.

It is understood that in the two quarter of fiscal year 2016-2017, the number of domestic retail outlets in BELLE has been reduced by 276, and the sales of footwear business in the same store has dropped by 10%.

As of February 29, 2016, BELLE's operating profit has declined from 6 billion 193 million yuan in the same period last year to 4 billion 201 million yuan, while footwear sales decreased 8.5% to 21 billion 74 million yuan over the previous year.

It is worth mentioning that in the past five years, the BELLE company, which once dominated the footwear industry, gradually slowed down the expansion speed due to market resource constraints and began closing stores in 2015.

In this regard, Ma Gang, an independent critic of the footwear industry, pointed out that BELLE's move is exactly the same as that of the FILA brand sold in the year. In the final analysis, it is because Barok, a production and marketing woman, has little significance for BELLE's performance.

On the one hand, the sale of Barok by BELLE to Japan can alleviate the pressure of funds to a certain extent; on the other hand, BELLE hopes to abandon the garment sideline and devote itself to the main business, and lay a good foundation for the accurate positioning of the company's brand in the market.