RadioShack is continuing an expansion into Asia by forming a joint venture with a Chinese company to open consumer electronics stores in China, Taiwan, Hong Kong and Macau.
According to a filing with the Securities and Exchange Commission, the Fort Worth-based retailer will invest $2.94 million and own 49 percent of the venture, with Cybermart owning 51 percent. Cybermart is a wholly owned subsidiary of SMS Marketing Service.RadioShack spokesman Eric Bruner said it's not known how many stores might be opened. The first store is set to open in July in Shanghai."We're focused on testing the business model in Shanghai this year," Bruner said. "We're in the early stages, and the pace of future expansions will be based in part on available real estate and some other factors."RadioShack said it will enter into a licensing agreement giving the venture the exclusive right to use the RadioShack brand. The Chinese stores will be smaller than U.S. stores, typically less than 1,000 square feet.The move continues a push into Asia for RadioShack. In March, RadioShack announced a deal with a Malaysian company to open at least 1,000 stores in 10 southeast Asian countries including Malaysia, Indonesia, Thailand and Vietnam. That company, Berjaya Retail Berhad, is controlled by Vincent Tan, one of Malaysia's richest men.-- Steve Kaskovich and Scott NishimuraHave more to add? News tip? Tell us
