Sanpower to pay $260m for stake

The Shanghai-listed arm of Sanpower Group said on Tuesday it has agreed to pay 155.3 million pounds ($260 million) for about 89 percent of Britain's Highland Group Holdings Ltd, which owns department store House of Fraser.

Nanjing Xinjiekou Department Store Co Ltd said in a Shanghai stock exchange filing that it has signed an agreement to acquire the stake.

Sanpower agreed on April 3 to buy an 89 percent stake in House of Fraser in London

While a Reuters reported said that it would pour 450 million pounds into the transaction, Chinese financial news portal yicai.com said that the conglomerate would pay 200 million pounds for the deal.

The deal is considered the largest overseas investment in the retail sector by a Chinese enterprise.