[ET Net News Agency, 21 November 2017] UBS Global Research lifted its target price for
Sun Art Retail Group (06808) to HK$5.15 from HK$4.7, and maintained its "sell" rating.
The research house said Alibaba's acquisition of 36.2% stake in Sun Art reflects
Alibaba's "New Retail" vision to leverage its internet-based approach and new technology,
while working closely with retailer partners to provide a seamless online and offline
experience to consumers.
UBS believes Sun Art's operational data is a highly valuable asset to other companies
and Alibaba might have a lesser emphasis on Sun Art's operation.
With Ruentex materially reducing its stake in Sun Art, UBS believes top management from
Ruentex side could gradually step aside. (KL)