European fast fashion brand C&A published an announcement, stating that the company will sell its China business to Zhongke Tongrong, a Beijing-headquartered private equity company.
According to C&A, since there is no antitrust review, the sale of the Chinese business has been completed.
Allan Leighton, chairman of C&A AG, said that like C&A in Brazil and in Mexico, they have always seen China as a key growth market for C&A. But they understood early on that local expertise with a strong network was critical to realizing C&A's full potential in this vast and complex market. This is truer than ever today, in the new COVID-19 reality the retail industry is navigating through. At the same time, it was always absolutely critical for them to find the right investor that believes in and is committed to the brand's core values and sustainable promise.
It is said that C&A belongs to the Brenninkmeijer family from Holland. The Brenninkmeijer family opened the first C&A store in China in 2007 and launched online store in 2014.
Recently, the number of C&A stores in China decreased by 18 and the brand currently has 66 stores in 23 Chinese cities.