Shares of CKH HOLDINGS (SEHK: 00001) rose 4% in early trading. At the time of writing, the stock was up 4.15% to HK$67.8, with a turnover of HK$88.33 million.
This movement follows news that the conglomerate is in discussions to sell its European perfume and cosmetics retailer, Marionnaud.
The company has indicated that the potential buyer is BEHN, a firm established by David Konckier, the CEO and major shareholder of French beauty and fragrance group Groupe Bogart, which is listed on the Euronext Paris exchange.
Analysts at UBS noted that CKH HOLDINGS initially acquired Marionnaud in 2005 for €534 million. The brand operates a network of over 700 stores across Europe.
Media reports suggest Marionnaud generated approximately €536 million in revenue in France during 2024 through its network of 377 stores in the country.
According to the group's 2025 annual report, Marionnaud's performance has been weak due to intensifying competition. The UBS analysis, referencing company reports, believes the business is not profitable at the EBITDA level.
Consequently, the bank views a potential sale as likely to have a modestly positive impact on the share price.
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