(Yicai Global) Dec. 14 -- Nanjing Central Emporium (Group) Stocks Co. [SHA:600280] will partner with Zhejiang Yintai Investment Co. -- a unit of Alibaba Group Holding Ltd. [NYSE:BABA] -- to form a New Retail development company, Nanjing Central Emporium announced Dec. 13.
The company will pen an agreement with Yintai Group to set up a joint venture in a bid to enhance its long-term competitiveness in general merchandise, speed up the transformation of its traditional department stores to New Retail stores and share the new market share brought by Alibaba's New Retail business in China's east-central Jiangsu province based on it, the former said.
The New Retail development company is tentatively named Nanjing Zhongyin New Retail Development Co. Nanjing Central Emporium will contribute CNY8.7 million (USD1.3 million), or 29 percent of its registered capital, while Yintai will invest CNY21.3 million in cash, for 71 percent of the registered capital.
The pair will jointly develop a New Retail market in Jiangsu based on the new company's platform. New Retail is a fusion of online and offline retailing, a concept pioneered by Alibaba founder Jack Ma.