Lucio Co stays in the game: Puregold sets P3.7B expansion
Supermarket chain operator Puregold Price Club Inc. has set earmarked P3.7 billion for its capital outlays this year, mainly to expand its store network.
A big chunk of the programmed budget or P1.5 billion will go to the construction of 2 S&R Membership warehouse while P1 billion has been allocated for the opening of 25 new Puregold stores.
Around P700 million has been set aside for store maintenance while P250 million will go to IT system upgrade.
The company is spending 200 million for the construction 12 S&R QSR (quick service restaurants). Another P50 million has been budgeted for 10 Lawsons stores.
Funding will come from internally generated cash and short-term untapped bank credit lines, if necessary.
With the continued expansion of its network, Puregold expects net sales to grow by 6 to 8 percent this year from P124.49 billion.
To spur faster growth, the Lucio-led grocery retailer intends to pursue acquisitions and expand into new geographic locations.