Lucio Co burns P160M in failed Lawson experiment
Bilyonaryo Lucio Co lost quite a sum from his costly experiment to try his hand in the 24-hour convenience store business dominated by 7-11.
Last year, Co’s Puregold Price Club Inc. was estimated to have lost P160 million in 2017 from its 70 percent share in PG Lawson Inc. This is the main reason why Co quickly sold out his stake to Lawson Japan just three years into their joint partnership
Since opening Lawsons’s first Philippine store in 2014, Co has pumped close to half a billion pesos into the struggling venture – P350 million in 2014 and P140 million in 2017.
Co apparently was forced to let go off Lawson because it has been one of the reasons why Puregold’s income had fallen below analysts’s expectations.
Puregold profits rose by 5.7% to P5.84 billion in 2017 or below forecasts of P6 billion.