
The UK supermarket’s joint venture with the state-run China Resources Enterprise (CRE) will combine Tesco’s 131 outlets in the country with CRE’s almost 3,000 stores, called Vanguard. CRE will own 80 percent of the new chain, with Tesco holding the remaining 20 percent stake.
"The partnership creates a strong platform in one of the world's largest markets," Tesco chief executive Philip Clarke said in a statement. "We can now combine our strengths to build a profitable multichannel business, offering our customers in China the best of modern retail."