Tesco Buys South Korean Discount Chain

British retailer Tesco announced the company is buying South Korean discount chain Homever from Korean fashion retailer E-Land Group, according to an article in the Wall Street Journal.

The article states that Tesco will pay $902 million for the company’s 36 stores, which have changed ownership twice in less than three years, once belonging to Carrefour SA, the world’s second-largest retailer.

According to WSJ, the newly acquired stores will become part of Tesco’s South Korean unit, Samsung Tesco Homeplus founded in 1999, with plans to convert them to its Homeplus brand.

Homever is South Korea’s number four discounter. Tesco will double its retail space and the number of stores it owns in Seoul with the purchase of Homever.