Alfamart expands to Vietnam
PT Sumber Alfaria Trijaya (AMRT) Tbk, owner of major retailer chain Alfamart, plans to expand its mini market network in Vietnam. Implementation of the plan is pending accomplishment of a feasibility study. AMRT operates over 3200 stores all over the archipelago, increased substantially from 2600 units in 2008.
AMRT told Indonesia Stock Exchange (IDX) that the company might enter into a joint venture for the Vietnam expansion.
AMRT started its commercial operations in 1989, focusing on trading of cigarette products. In 2002, the company runs its retail distribution of consumer products by operating mini-market networks, under the name of Alfamart. As of September 2009, number of mini-market under the network had reached 3200 units, including 2,396 units of direct ownership and 798 units under franchise agreement.
In nine months of 2009, Alfamart reported net sales of Rp7.59 trillion, increased 25% from the same period in 2008. The company booked net profit of Rp112 billion in the period. As of today, the company has market capitalization of Rp2.9 trillion or about US$310 million.
Who owns the network? PT Sigmantara Alfindo (54%), Argo Volantis Pte ltd (29.52%), PT Cakrawala Mulia Prima (6.48%), and public (10%). Northstar Pacific Group, a private equity company, owns substantial shareholding in this company.