KUALA LUMPUR: Malaysia's largest jewellery retailer, Poh Kong Holdings Bhd, plans to spend up to RM25 million in capital expenditure, opening five new stores in Malaysia this year.
The company said two of the outlets will be located in Johor, a state that has a huge appetite for gold and gem-set jewellery.
Each outlet costs up to RM5 million in total capital expenditure, including inventories to set up.
Poh Kong's business development manager Edison Choon said this after the company's annual general meeting here today.
He declined to reveal the locations of the other three possible stores. By year end, he said the company aims to have at least 100 stores in operation from the current 97 outlets.
All of Poh Kong's stores are located in Peninsular Malaysia at the moment. The company has no plans to expand outside of its existing market for the time being.
At present, 71 per cent of Poh Kong’s revenue is generated in the Klang Valley.
According to analysts, Poh Kong has 16 to 20 per cent of Malaysia's gold jewellery market share.
Malaysia's gold jewellery market is estimated to be valued at RM5 billion.