There have always been several well-known supermarket brands in Malaysia. But in recent years, most of these have been undergoing changes. And, as it turns out, fellow supermarket brands Giant and Cold Storage haven’t been spared either.
It was recently announced that Hong Kong-based retailer Dairy Farm International Ltd Group (DFI) will be selling its food retail businesses. This includes the Giant, Cold Storage, TMC and Mercato chains. They have been sold to a local retail group led by entrepreneur Datuk Andrew Lim Tatt Keong.
DFI reportedly released an official statement regarding the news yesterday (23rd February). It reportedly disclosed that a deal had been made between the local retail group and DFI. But, the acquisition price was not revealed. However, according to The Edge, it is believed the chain stores were sold for “at least a couple of billions (of) ringgit”.
The transaction will be completed by March, with the new owners taking on 2,500 team members. Chris Bush, CEO of Southeast Asia DFI Retail Group added that they see this as a win for both customers and team members alike. DFI believes the handover will provide “further growth opportunities” for their team members and “enable greater competitiveness, service and value” for Malaysian customers.
Datuk Lim has also thanked DFI for entrusting the retail brands to him and the local retail group. He promised they will endeavour to “add value and to enhance the respective brand equities of Cold Storage, TMC, Giant and Mercato brand names in Malaysia“. Datuk Lim himself is currently the executive chairman of Gama Group and the deputy chairman of Sogo department stores in Malaysia.
DFI has indicated that they have confidence in Datuk Lim and the local retail group to grow the brands. “The local retail group shares similar beliefs as DFI in delivering great quality, service and value to customers,” they reportedly said. DFI themselves will be committing and focusing on Guardian, their health and beauty retail business.
DFI Retail officially entered Malaysia after acquiring a 90% stake in the Giant business in 1999. They later grew the business from seven stores to 122 in 2018. But, DFI retail started closing stores on a large scale in 2019.
Sources: China Press, The Edge, Free Malaysia Today, The Sun Daily
