Walmart intends to dispose of its majority shareholding in the Seiyu supermarket chain in Japan to KKR and Co. and Rakuten who will purchase 65 percent and 20 percent of equity respectively. The Seiyu chain involves 300 stores including supermarkets, hypermarkets, and general merchandise units. Seiyu has been majority-owned and controlled by Walmart since 2008.
KKR will provide financing with Rakuten applying their extensive digital expertise necessary for Seiyu to establish a strategic growth plan for an omnichannel presence in Japan. The Company will have to transition from conventional brick and mortar to online. This trend is influenced by the occurrence of COVID, effectively controlled in Japan but a constant concern for consumers.