Better Life Commercial Chain Share (002251), an operator of supermarkets and department stores, plans to move into the hypermarket sector, and will seek to raise up to 100 million yuan, reports National Business News, citing an insider.

According to the insider, the company plans to acquire and invest in the building of hypermarkets, with each hypermarket expected to cost the company 500 million yuan.

Better Life Commercial Chain Share plans to obtain four to five new hypermarkets in 2012.

Company chairman Wang Tian said the profitability of shopping centers has been declining due to fierce competition, and the retail industry is heading either toward convenience stores or large-scale integrated shopping centers.

The company will set up four to five of such outlets in Yichun, Hengyang and Zhangjiajie, each with operating area of more than 50,000 square meters.

Better Life Commercial Chain Share generated 2011 net profit of 260 million yuan on revenue of 8.44 billion yuan, up 52.2 percent and 24.65 percent, respectively.

Source:capitalvue.com