Li & Fung Evaluates Future of Asia Unit

Li & Fung Evaluates Future of Asia Unit

Li & Fung Limited told investors that its board of directors is evaluating strategic alternatives for the Asia consumer and healthcare distribution businesses it acquired through the privatization of Integrated Distribution Services Group Limited in 2010.

The company disclosed the news April 13, nearly a month after reporting sales and profits declined last year amid difficult retail and currency conditions worldwide.

Li & Fung is in discussions with independent third parties in relation to a possible transaction involving such businesses. However, at this time the company has not entered into any agreements in relation to any transactions involving the company or its subsidiaries.

The company, which specializes in managing supply chains for global brands, department stores, hypermarkets, specialty stores, catalogue-led companies, and e-commerce platforms, said the discussions may or may not lead to definitive and binding agreements. Li & Fung provides design, sourcing and logistical services to many global footwear and performance apparel brands.