Tesco has missed out on the chance to give its Asian arm a major boost after Carrefour opted to sell a raft of stores in Thailand to a domestic rival.
The UK’s largest supermarket missed out after Carrefour agreed an €868m (£737.3m) sale to French competitor Casino.
Tesco Louts indicated that it would now focus on organic growth. Casino is its largest rival in Thailand.
Analysts said the deal left questions over Carrefour’s long-term strategy. Christopher Hogbin of Bernstein Research said the sale “reinforces Carrefour’s exposure to lower-growth and arguably less attractive markets in western Europe”.
“Carrefour’s growth prospects in Thailand did not allow the group to envisage occupying a leading position in this market in the medium or long-term,” the retailer said in a statement.
Clarke to take Tesco online in China (21 September 2010)
Tesco joins auction for Carrefour’s Asia stores (2 September 2010)