Couche-Tard acquires Circle K business in Hong Kong

Convenience Retail Asia Ltd said on Thursday it had agreed to sell its convenience store business in Hong Kong to Canadian convenience store and road transportation fuel retailer Alimentation Couche-Tard Inc for HK$2.79 billion ($359.8 million).

The Circle K convenience stores and Saint Honore bakery chain operator plans to declare a special dividend of HK$3.85 per share to its shareholders, with the dividend to be paid before the end of 2020, the firm said in a filing to the Hong Kong bourse.

The convenience store business, with a net asset value of HK$622 million as of end-June 2020, comprises of 340 Circle K stores in Hong Kong, and the net proceeds will be used to pay the special dividend, the Hong Kong-listed firm added.