Incoming chief reaffirms Tesco Lotus commitment to Thailand

Tesco Lotus yesterday also announced the launch of the initial public offering of its Tesco Lotus Retail Growth Freehold and Leasehold Property Fund (TLGF), which will be listed on the Stock Exchange of Thailand.
IPO subscription for general investors will take place from Friday through to March 2, with an initial offering price range of Bt9.65 to Bt10.40 per unit and an expected distribution of 6.5 per cent to 7 per cent per annum.
The offering is expected to raise about Bt18 billion and will be the largest property fund IPO in Thailand’s history, and the largest IPO on the bourse since July 2006.
TLGF will initially invest in 17 high-quality Tesco Lotus hypermarket-anchored shopping malls in prime locations, as well as in the company’s new regional distribution centres to be opened within the next two to three years in Khon Kaen, Surat Thani, and Chiang Mai or Lampang.
“Tesco Lotus remains committed to Thailand. We will continue to invest to benefit our customers and the community,” said Christie, who will take up the top executive position at Tesco’s Thai operations on February 27.
Tesco Lotus has invested about Bt130 billion in the Kingdom over the past 17 years. It will also spend about Bt7 billion to open five or six new hypermarket stores locally every year.
“My experience with the Tesco Group includes time spent in Japan, Slovakia and Poland, and I plan to bring what I have learned from these international experiences to our local team,” he said.
Christie will succeed Christopher Bush, who leaves Thailand this Friday to take up the role of chief operating officer of the Tesco business in the UK.
Bush said that during his tenure as CEO for about two years, Tesco Lotus had continued to successfully grow as a business, whilst maintaining its focus on improving the shopping trip for its 35 million monthly customers.
This has been achieved through initiatives such as the roll-out of the Tesco Extra format, the introduction of the Green Line and the opening of Thailand and Asia’s first “Zero Carbon” store, he said.
The company also remains committed to supporting its staff, communities and business partners and contributing to Thailand’s economy and the country more broadly.
“I’m very pleased to have worked with such a talented team at Tesco Lotus. We have recorded many achievements, which benefit our customers, such as the opening of our first Extra store, the Green Line, which reduces queuing time for customers,” said Bush.
“From day one, I have been made to feel extremely welcome by the Thai people and the Tesco Lotus team who, I believe, represent one of the best teams in the world of retailing. I leave here with many fond memories.
“I am delighted to be handing over the reins to John Christie, a Tesco veteran of almost 30 years. He is a true retailer at heart. Most recently, John was the CEO of Tesco in Slovakia and previous to that, CEO of our Japanese business. In addition to this experience, John brings with him an immense amount of talent and energy. I could not wish for a better person to be stepping into the role and leading Tesco Lotus to even greater success,” he said.
Christie said: “This is a great time to be joining Tesco Lotus. In the short time that I have been in Thailand, I have been impressed by the hospitality and energy of the Tesco Lotus team, who are committed to serving our customers and working harder every day for them.”
“Chris and his management team have built a strong business, which is performing very well, showing good growth despite the challenges we recently faced due to the flooding. I am delighted to be taking over and plan to continue the good work,” he said.
As the market leader in Thailand, the company has ambitious plans, the incoming chief said, adding that the future therefore looks strong and Thailand continues to be one of the fastest-growing economies in Southeast Asia.