South Korea’s conglomerate Lotte Group and its sales adviser Goldman Sachs are engaged in preliminary talks with five to 10 parties interested in the Chinese operation of Lotte Mart as part of the exit plan for its grocery chain unit hit hard by Beijing’s retaliatory action.

According to the investment bank industry on Monday, multiple strategic and financial investors have expressed their interest in Lotte Mart’s assets and operation in China.

Without naming any of them, a source close to the matter said there were up to 10 bidders.

Goldman Sachs is reported to have been in contact with Thai retailer CP Group and U.S. and European retailers. A U.S.-based private equity fund is one of potential bidders.

Lotte Mart runs 112 outlets across China. Of them, 87 have been forced to close on business suspension from authorities in retaliatory move after the parent conglomerate yielded its golf course location to host the Terminal High Altitude Area Defense antimissile system.

There were reports that the outlets could be sold to Chinese largest retailer Beijing Hualian Group, but Goldman Sachs denied that it had been in contact with the Chinese group.

By Sohn Il-seon

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