The news come as a licensing agreement has been signed between the convenience store operator, MYCU Retail and BGF Retail Co Ltd, which runs the CU line of convenience stores in South Korea.
CU is a South Korean convenience store chain that is operated and owned by BGF Retail, there are already 15,000 CU stores in the republic and MyNews Chief Executive Officer, Dang Tai Luk, commented that the group is planning to open 500 CU stores in the Malaysian market, with the first of these opening by early 2021. The group plans to open 30 to 50 stores, concentrating on bigger cities first to see how the stores perform, and monitor their progress.
MYCU Retail are spending between RM30M to RM40M in capital expenditure on the stores and the group expects that the CU stores will break even in two to three years’ time.
The licensing agreement will last for ten years, with an option then available to renew the deal for another ten years.
