London: Hennes & Mauritz AB, Europe’s second-largest clothing retailer, plans to take its first step into the southern hemisphere by opening a store in Chile.
The outlet at the Costanera Center mall in Santiago de Chile will open in the first half of next year, the Stockholm-based company said in a statement on Wednesday, adding that it sees “great potential” for further expansion in the region.
H&M, which sells dresses for less than ¤20 (Dh92.2), has until now focused store expansion on Asia and the US to help offset a slowdown in Europe. Chile is the second most-attractive emerging market for retail investment behind Brazil, AT Kearney said in June, citing the country’s strong economic growth and low rate of inflation. Gross domestic product expanded 5.5 per cent from a year earlier in the second quarter.
H&M’s competitors in Chile will include Inditex SA, whose Zara chain had seven stores in the country as of January 31.