Alibaba Group is reportedly exploring the sale of various consumer sector assets, including its grocery business Freshippo and retailer RT-Mart, as part of a strategy shift towards its core ecommerce business, Reuters reported.
The move aligns with the company’s focus on divesting non-core, unprofitable units, it said.
Talks with potential investors, both strategic and financial, are underway, covering assets such as shopping mall operator Intime.
The discussions are in the early stages and Alibaba may decide against proceeding. The divestment efforts coincide with the company’s broader restructuring and increased scrutiny on IPOs in China’s challenging capital markets.
Alibaba’s new leadership, led by Chairman Joe Tsai and CEO Eddie Wu, aims to prioritise domestic ecommerce and invest in areas such as AI, cloud computing and overseas expansion.
The company announced plans to split into six units in March, with a Hong Kong listing application filed for logistics arm Cainiao in September.
Despite a spokesperson for Freshippo denying plans to sell, the divestment aligns with Alibaba’s strategy to independently assess the market viability of its various businesses.
