Tesco Puts Its South Korean Grocery Business Up For Sale

At least five private equity firms have formed alliances to bid for Tesco’s $6 billion South Korean retail grocery business. The sale would help Tesco reduce its debt and help position it for a turnaround in the U.K. Among the potential bidders are the Asia-based Affinity Equity Partners and U.S.-based KKR & Co.; Carlyle Group and Singapore's GIC; and Asian private equity firm MBK Partners, which hopes to secure equity funding from South Korea's National Pension Service. Tesco has been struggling to compete against German discount grocers Aldi and Lidl, while trying to recover from an accounting scandal.