THACO to expand Emart hypermarket system in Vietnam
THACO to expand Emart hypermarket system in Vietnam
After acquiring the Emart hypermarket system, Truong Hai Auto Corporation (THACO) is planning to expand the chain to 3-4 hypermarkets by 2022 and to 11 points of sale by 2025.
THACO expects to expand the chain to 3-4 hypermarkets by 2022 and to 11 points of sale by 2025
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At its online shareholders' meeting on May 31, THACO said it has reached a formal agreement with Emart Inc. and expectsto complete the final stages of the deal in mid-June.
After the deal is completed, THACO will develop the detailed design of the stores and prepare for the efficient operation of the Emart hypermarketbusiness.
In 2021, the Emart hypermarketsystem expectsto reach more than VND1.8 trillion ($78.34 million) in revenue, an increase of about 10 per cent compared to 2020.
Tran Ba Duong, chairman of THACO, said thatthe hypermarketsdeveloped by the domestic automaker will incorporate facilities like showrooms, food courts, conference centres, and wedding receptions, even a place where customers can view carsand experience vehicle maintenance.
According to Duong, THACO wants to create a chain of low-cost hypermarkets to suit the wallets and tasteof Vietnamese people. He added that the one-stop hypermarkets of THACO would create greater conveniences for customers and that low-cost hypermarkets are the upcoming trend, especially in provincial markets.
Meanwhile, Nguyen Hung Minh, vice chairman of the Board of Directors revealed that the companysigned an agreement toacquire100 per cent of the capital of Emart Vietnam Co., Ltd., including the supermarket of Emart Phan Van Tri in Go Vap district, Ho Chi Minh City, as well as other supermarket projects being developedin Vietnam.
Moreover, the two sides signed a franchise agreement and Emart Inc. granted THACO exclusive commercial rights to its supermarketmodel for a period of nineyears. Additionally, THACO will distribute Emart's Nobrand private label products in the Vietnamese market.
