(Source: Jakarta Globe)
The operator of Indonesia’s Alfamart chain of minimarts plans to open 160 stores in the Philippines by the end of this year as part of a regional expansion program.
“The company has opened 60 Alfamart outlets in the Philippines [to date],” Hans Prawira, the president director of Sumber Alfaria Trijaya, said in a statement on Wednesday.
He said the company, through a subsidiary, Alfamart Retail Asia, would open 100 additional outlets in the country in the second half of this year to strengthen its presence in the region and help boost Indonesian exports.
The expansion business model will be a joint venture between Alfamart Retail Asia and Philippine-based SM Retail Supermarket, a subsidiary of tycoon Henry Sy’s SM Group. Alfamart Retail Asia holds a 35 percent stake in the venture, and SM Retail Supermarket the controlling 65 percent.
The project will be funded by loans from Philippine banks, according to Sumber Alfaria Trijaya’s finance director, Tomin Widian.
In Indonesia, the company plans to open 1,200 new outlets by the end of this year. “More than 50 percent will be opened outside Java. We already have a distribution channel in Pontianak, Banjarmasin, Manado, and the latest one, in February, [in] Batam,” Hans said.
As of March 31, the company had 10,068 Alfamart outlets, of which 2,958 are managed under a franchise scheme, while the rest are owned by the company.
The company also operates 809 Alfamidi and 48 Lawson outlets.