Alibaba-controlled hypermarket operator Sun Art appoints new CEO amid restructuring and rising competition
- Alibaba acquired a controlling stake in Sun Art in 2020 from the billionaire Mulliez family
- The executive reshuffle comes as Alibaba continues to adjust its offline retail businesses as part of a sweeping restructuring
Sun Art Retail Group, controlled by Alibaba Group Holding, has appointed a new chief executive as the e-commerce giant continues to consolidate its retail assets amid a restructuring and rising market competition.
Hong Kong-listed Sun Art, a hypermarket business, said in a stock exchange filing on Tuesday that Lin Xiaohai, fomer chief executive officer and executive director of the company, has been moved to another position with Alibaba. Shen Hui, a former senior executive at French supermarket operator Auchan Retail, a former affiliated brand under Sun Art, has taken over the CEO role since Wednesday.
Alibaba acquired a controlling stake in Sun Art in 2020 from the billionaire Mulliez family, paying HK$28 billion to double its effective stake in the Hong Kong-listed group to 72 per cent. The deal was seen as a move to boost the e-commerce giant’s stranglehold in the offline retailing sector as the Covid-19 pandemic intensified the integration of online and offline shopping.
The executive reshuffle comes as Alibaba, which owns the South China Morning Post, continues to adjust its offline retail businesses in the wake of a sweeping restructuring announced a year ago.
