Tesco agrees to sell South Korean retailing business in $6 billion deal

IndustriesAssociated Press

British retailer Tesco PLC has signed an agreement to sell its South Korean retail business in a deal worth about $6 billion.

A consortium led by South Korean private equity firm MBK Partners said Monday it will buy Homeplus, which is South Korea's second-largest retail chain.

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The acquisition is the biggest in South Korea so far this year.

Two Canadian pension funds and Singapore state investment company Temasek are part of the consortium.

Tesco, which reported a full-year loss of $8.5 billion through February, has been restructuring its businesses. It closed 43 unprofitable stores in April.