Popular bookstore chain bought over by Hong Kong company

SINGAPORE — The Popular bookstore chain has been acquired by a Hong Kong investment company for an undisclosed sum, Chinese newspaper Lianhe Zaobao reported on Thursday (Nov 2).

The report said Hong Kong-headquartered ZQ Capital has acquired Popular Holdings.

Popular Holdings' businesses include the Popular and other bookstore chains in Singapore, Malaysia, China and the United States.

It has 169 retail outlets in Singapore, Malaysia and Hong Kong, according to its website. Popular also operates e-learning, publishing and property development arms.

It has been expanding in China, and its website lists offices in Malaysia, Hong Kong, Beijing, Macau, Taipei and Ontario, Canada.

The Straits Times has sent queries to Popular and ZQ Capital.

According to ZQ Capital's website, the firm's investment strategy "focuses on creating investment value and returns that are least affected by market fluctuations and disruptive business models".

The investment firm said it identifies "industry leaders that will support and benefit from China's macroeconomics in the long term".

According to a letter sent to Popular's suppliers in Malaysia and seen by Zaobao, its chief executive Chou Cheng Ngok has decided to retire after the acquisition.

The letter stated that Popular's core values and operations are expected to remain unchanged under its new ownership. The group's current ownership structure will not be affected, and employee salaries and benefits will be unchanged.

The letter added that in addition to its retail, distribution and publishing businesses, Popular will position itself as a comprehensive education service provider to explore opportunities in China and South-east Asia's emerging markets.

The Popular bookstore chain has been operational in Singapore since 1924, when it was established as Cheng Hing Company, specialising in picture and comic books.

Cheng Hing later merged with World Book Company and became one of Singapore's top Chinese book retailers.

Popular Holdings was incorporated in Singapore on Oct 5, 1996, and listed on the mainboard of the Singapore Exchange a year later.

It was subsequently privatised by Mr Chou and his wife, and delisted from the local bourse on May 5, 2015.

Since then, Popular has diversified its product offerings beyond English, Chinese and assessment books to keep up with changing consumer habits in Singapore.

Its stores now include non-book merchandise such as stationery, tidbits as well as gadgets and IT merchandise. These include small domestic appliances such as fans, security cameras and even air fryers.

Despite this, Popular has come under pressure from lower footfall as well as rising costs such as rent and labour. It closed a 17,000 sq ft outlet in Marine Parade in June, after closing outlets at Thomson Plaza in 2019 and another at IMM in 2021.

ALSO READ: 'I can't bear to see it go': Iconic Popular bookstore outlet in Marine Parade to close after more than 25 years

This article was first published in The Straits Times. Permission required for reproduction.