SM to finalize investment in Waltermart soon
MANILA, Philippines - One of the strategies of the Sy group to counter the aggressive expansion of Lucio Co-led retailer Puregold is proceeding well.
On Monday, April 15, SM Investments Corp (SMIC) confirmed a report quoting its chief finance officer Jose Sio that the group is wrapping up its due diligence for, as well as its investments in, the 50-50 partnership with retailer Waltermart.
"We confirm that our investment for joint venture with Waltermart is proceeding positively," SMIC told the Philippine Stock Exchange. The two announced their joint venture deal in January. They had said then they need 6 months for due diligence work.
“We are proceeding with the investment for Waltermart,” Sio was quoted as saying.
The value of the deal has not been disclosed.
SMIC vice person Teresita Sy-Coson had said they will not push for management control.
Owned by the Lim family, Waltermart is engaged in the shopping mall and supermarket business. It has 17 malls located in Metro Manila, Batangas, Laguna, Cavite, Bulacan, Pampanga and Nueva Ecija.
Aside from Waltermart, the Lim family also owns Abenson, a chain of appliance stores with over 75 outlets nationwide; concept store Avant, which carries the latest high-end technology products currently available in the market; Electroworld; and Home Plus.
This deal is meant to boost SM group's retail business. SMIC's SM mall network is the biggest in the Philippines.
The SM Retail group has a total of 193 retail stores, consisting of 46 SM department stores, 37 SM supermarkets, 34 SM hypermarkets and 76 SaveMore stores.
The two families have previously worked as tenants and land holders. The upcoming partnership is meant to expand the reach of Waltermart network in the Philippines. - Rappler.com