Lulu Group to invest Dh1.1b on 11 hypermarkets in GCC

Abu Dhabi: Lulu Group, the Abu Dhabi-based retail chain, said it plans to invest Dh1.1 billion on opening 11 new hypermarkets across the GCC this year — three of which will be in the UAE.

According to Yousuf Ali M.A., chairman of Lulu Group, the company saw $5.6 billion in sales from its stores across the UAE and internationally in 2015, marking a 16 per cent increase from the figures seen in 2014.

Around 40 per cent of sales in 2015 came from the UAE, with the company expecting to see a 16-17 per cent increase in sales globally in 2016.

Yousuf Ali was speaking to reporters on Monday during the opening ceremony of Famous Dave’s, a US-based dining chain that signed a franchise agreement with Lulu’s food and beverage arm, Tablez, to open in the UAE.

Lulu had earlier announced plans to invest $300 million (Dh1.1 billion) on growth in Egypt, $300 million each on growth in Malaysia and Indonesia, and $200 million on growth in Saudi Arabia over 2016 and 2017.

Lulu said that each outlet it opens costs Dh100 million and that the company usually plans for 10-11 outlets when it penetrates new markets.