House of Fraser sold on by Chinese owner
Nanjing Xinjiekou Department Store, the controlling shareholder of House of Fraser, has announced that it is selling its 51% stake in the retailer to Wuji Wenhua, a tourism development company. Sanpower, the largest shareholder in Nanjing Xinjiekou, acquired House of Fraser in 2014 for £480m, announcing plans to inject capital into the department store and launch a series of new outlets in Russia and the Middle East as well as 50 stores in China under the name ‘Oriental Fraser’. With consumers turning to online shopping and sales dipping, Sanpower has finally opened only one store in China. This announcement adds to a grim few weeks of news for the UK retail sector.