BANGKOK — CRC divests European luxury retail operations to focus on high-growth Southeast Asian markets. It announced Thursday it will sell its prestigious Rinascente department store chain in Italy to sister company Central Department Store Co. Ltd. (HCDS) for €250 million ($295 million)
Central Retail Corporation Public Company Limited (CRC), the Thai retail giant’s board approved the transaction on September 18, which includes the sale of 100% of CRC Holland B.V.—the entity that owns the Rinascente business—plus the transfer of a €141 million ($166 million) shareholder loan to HCDS. The total deal value reaches approximately $460 million.
Strategic Consolidation Under One Roof
HCDS stated in its proposal that it intends to consolidate the Rinascente operations with its existing European department store businesses under unified management. The move represents a reorganization within Thailand’s Central Group empire rather than an exit from luxury retail.
The transaction encompasses CRC’s entire Italian department store portfolio, including subsidiaries CRC Rinascente S.p.A., La Rinascente S.p.A., and logistics arm DR Logistics Srl. Rinascente operates premium department stores in major Italian cities including Milan’s flagship location.
Regulatory and Shareholder Approval Process
CRC emphasized that the sale falls outside existing agreements between the companies, including the Department Store Business Letter of Undertaking and Flagship Company Letter of Undertaking. Following completion, Rinascente will no longer be bound by these arrangements, though CRC’s existing rights under both agreements remain unchanged.
The board deemed the transaction “appropriate, reasonable, and in the best interests of the company and shareholders,” citing fair valuation and strategic benefits. Shareholders will vote on the proposal at an Extraordinary General Meeting scheduled for November 6, 2025, at 2:00 p.m.
Focus Shift to High-Growth Markets
The divestment aligns with CRC’s broader strategy to concentrate resources on Southeast Asia’s rapidly expanding consumer markets while reducing exposure to slower-growing European economies. The company plans to use proceeds to reduce debt and enhance shareholder returns.
The transaction, expected to close by December 2025 pending shareholder approval, reflects the ongoing consolidation of Central Group’s global retail operations as the Thai conglomerate optimizes its international footprint for sustainable growth.
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