Indonesia's Alfamart to expand in Philippines with joint venture

Indonesian convenience chain Alfamart looks set to expand into the Philippines.

Alfamart, which has more than 8500 outlets in Indonesia, is currently in discussions with the SM Group in the Philippines for a retail joint venture.

“We are still planning with them,” said Teresita Sy-Coson, vice-chairwoman of SM Investments.

SM Retail operates 245 stores, consisting of 48 SM Stores, 39 SM Supermarkets, 40 SM Hypermarkets, 96 Savemore stores and 22 WalterMart stores.

SM Retail plans to expand into the convenience store sector, following the strategies of Ayala Land, which partnered with FamilyMart of Japan, and Puregold Price Club which has tied up with Lawson.

Meanwhile, the leading convenience store brand in the Philippines, 7-Eleven, is increasing its investments to expand its network to fend off its existing and new competitors.