Tesco expects six new stores to contribute 15% to revenue

KUALA LUMPR: Tesco Stores (M) Sdn Bhd expects its six new stores in Malaysia to contribute 15% to its revenue in the financial year ending Feb 28, 2011, its Chief Executive Officer Tjeerd Jegen said.

The hypermarket operator registered a revenue of RM3.5 billion in the 2009/2010 financial year.

Jegen said two stores were opened earlier this year with one in Rawang, Selangor and the other in Bukit Indah, Johor.

"The rest of the four stores will be opened in Melaka, Kepong (Kuala Lumpur), Old Klang Road (Kuala Lumpur) and in Kulim (Kedah).

"We will be investing about RM80 million to RM90 million per store subjecting to the size," Jegen told reporters after the launching of ‘Easy by RHB’ at Tesco Ampang here Tuesday, May 18.

Tesco currently has 33 stores nationwide.

Asked whether the company was looking at a listing, Jegen said Tesco was happy with its partnership with Sime Darby and not looking at a listing.

"We do not believe that listing will help us at the moment," he elaborated. -- Bernama