Local retailer sets local, foreign expansion

Filipino Retailer Golden ABC Inc., which owns Penshoppe and five other homegrown brands, is embarking on an aggressive expansion program this year to further solidify its presence here and abroad.

Golden ABC chief executive Bernie Liu told reporters last week that they were looking to put up 25 Penshoppe branches abroad and another 25 to 50 outlets of the company’s various brands domestically.

“We’re looking at about 25 stores abroad, of which 5 to 10 stores will be in the Middle East and 10 stores in Indonesia. We’re also opening in a new territory this June, in Phnom Penh, Cambodia,” Liu explained.

Golden ABC’s expansion locally, on the other hand, is anchored on the construction of new malls and commercial centers across the country.

“But we have to be selective in the areas where we are opening. Metro Manila is getting a little bit crowded. The opportunities are really outside Manila,” he added.

Liu disclosed that each store that would be opened locally this year might require a capital outlay of about P5 million to P10 million. For the 25 stores, the required capital expenditure could reach P200 million, he added.

For the planned Penshoppe brands abroad, Golden ABC will be working with its partners who will put up the actual stores. The cost for Golden ABC will be in terms of inventory and infrastructure support.

According to Liu, Golden ABC has more than 600 stores, of which 25 are in key areas abroad, including Bahrain, Saudi Arabia, Dubai and Indonesia.

Asked whether it plans to offer its shares to the public, Liu only noted that it was not “a question of whether we will take that option but whether the timing would be best.”

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