Alibaba Group is selling its department store arm Intime to textiles and clothing conglomerate Youngor Fashion Co for 7.4 billion yuan (US$1 billion).

Intime will go to a consortium of purchasers comprising Youngor Group and members of Intime’s management team, according to a stock exchange filing by Alibaba on Tuesday.

The deal is subject to merger control clearance and other customary closing conditions, and it expects to record losses of approximately 9.3 billion yuan.

Shares of Shanghai-listed Youngor jumped for the second day to their highest level yet.

Younger, the textile and clothing company based in the eastern city of Ningbo, jumped 5.72 percent on Monday and closed up 3.65 percent to 9.38 yuan on Tuesday.

The latest move by the e-commerce giant is believed to be part of the company’s strategy to focus more on core e-commerce operations and its cloud-computing business.

Last month, Alibaba merged its domestic and overseas e-commerce operations into one unit to seek more synergies.

Alibaba purchased Intime’s stakes in 2014 and became a controlling shareholder in 2017. Hangzhou-headquartered Intime has since been driving integration between online resources and physical store networks.