Wal-Mart Stores Inc. said Monday it will spend $875 million to take full ownership of its money-losing Japanese subsidiary, Seiyu Ltd., as the U.S. retailer struggles to speed up management changes and reverse slumping performance in the world's second largest economy.
Wal-Mart, which owns a 50.9 percent stake in Seiyu, will pay $1.23 (140 yen) for each share of the Japanese supermarket chain operator it does not yet own, the company said in a statement.
Seiyu's board voted Monday to support Wal-Mart's 100 billion yen tender offer, according to the statement. The Japanese retailer will be delisted from the Tokyo Stock Exchange if the tender offer, set to run from Oct. 23 to Dec. 4., is successful, it said.
In other Wal-Mart news, there are more grumblings of plans for a smaller concept from the retailer.