Why Indonesia’s CT Corp is spending $3 billion on malls
Indonesian conglomerate CT Corp. has announced that it will be investing around $3 billion over the next three years to increase the number of its commercial complexes in the country.
The investment will take its current number of malls from three to over 100 hundred; the new complexes will generally be very large developments, and will house everything from indoor theme parks to shops and restaurants.
CT is a diversified business group and has interests in a diverse range of industries including financial services, media, retail and restaurants.
Specifically, CT is planning to increase the number of its commercial complexes from three to 30 in 2017 and then to 100 in 2019. The company is currently in discussions with a local cinema operator to add around 500 cinema screens to the facilities.
The conglomerate is also exploring the possibility of working with major Japanese general trading house Marubeni to support its consumer businesses operations and future goals; they formed a comprehensive strategic partnership in July and are looking to build on this.
CT operates the supermarket chain Carrefour in Indonesia; it took over company's Indonesian subsidiary as its wholly owned subsidiary in 2013, marking a new direction towards supermarket retail.
With the $3 billion investment, CT is seeking to dramatically reduce its reliance on Carrefour and take control of its retail destiny.
SOURCE: [Nikkei Asian Review]
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