Berli Junker embarks on Big C expansion

Date : 01 December 2016

Berli Junker (BJC) has announced that it would invest THB10bn (US$280m), 80% of which would be allocated to the expansion of its Big C business.

Expansion across different formats for Big C

Berli Junker, the retail flagship of Thai tycoon Charoen Sirivadhanabhakdi's TCC Group, plans to open nine new Big C Hypermarkets, four Big C Market stores, and about 200 Mini Big C outlets in Thailand.

BJC’s subsidiary Big C Supercenter currently operates about 114 Big C Hypermarkets, 15 Big C Extra, 59 Big C Markets, 487 Mini Big Cs.

The company has completed a US$6.2bn acquisition of Big C in May after winning an offer for French retailer Casino's 58.6% stake in February.

Change reporting method to increase profit margin

BJC has more than 700 retail branches under various formats in Thailand, mostly under the Big C brand, and more than 100 branches in Vietnam.

BJC CEO Aswin Techajareonvikul says Big C’s revenue dropped 20% to THB 22.7bn (US$638m) in the third quarter of this year. But the company has changed strategy at Big C in May this year by discontinuing sales of unprofitable products such as cigarettes and alcohol, especially to local wholesalers. The move would allow Big C to increase its profit margins.

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