Puregold Price Club Inc. of businessman Lucio Co announced Wednesday the acquisition of 14 DiviMart supermarkets owned by entrepreneurs Harry Uy and Vivian Ong Juanitas.
Puregold said in a disclosure to the stock exchange it signed a purchase agreement for 14 DiviMart supermarkets including their leasehold improvements, furniture, fixtures, equipment and merchandise inventory.
It said it would evaluate an additional 18 Divimart locations for possible conversion into Puregold.
“The agreement will allow Puregold access to all Divimart supermarket locations which may instantly be converted to Puregold stores under a sublease transaction,” Puregold said.
These 14 DiviMart stores are located in Angat, Bulacan; Mapulang Lupa, Pandi, Bulacan; Morong, Bataan; Cabanatuan City, Nueva Ecija; Olongapo
City; San Isidro, Taytay, Rizal; San Miguel, Pasig City; Manggahan, General Trias, Cavite; Mambog, Bacoor, Cavite; Pulo, Cabuyao, Laguna; Tayuman, Manila; Aliaga, Nueva Ecija; San Juan, Taytay, Rizal; and Pulilan, Bulacan.
DiviMart is a Filipino supermarket chain founded in 1989 by Uy and Juanitas. The company has more than 30 branches nationwide and is known for its low prices and a wide selection of goods.
DiviMart offers a variety of products including fresh produce, meat, seafood, dairy, baked goods, frozen foods, snacks, beverages, household goods and personal care items.
The group had a total of 531 stores nationwide as of end-March. These included 456 Puregold stores, 23 S&R Membership Shopping warehouses and 52 S&R New York Style QSRs.
It posted a net income of P2.4 billion in the first three months, representing a 12-percent growth from P2.2 billion in the same period last year on the back of higher comparative sales.
Prior to the pandemic, Puregold managed to grow its store network through aggressive store expansion and acquisitions of regional players including NE Bodega in Nueva Ecija and B&W stores in Roxas City.
Puregold’s net income increased 13.5 percent in 2022 to P9.3 billion from P8.2 billion in 2021 as the economic reopening drove higher foot traffic to its stores.
Net sales climbed 12.3 percent in 2022 to P184.3 billion from P164.1 billion year ago.
Puregold said consumer demand gained momentum as the economy reopened and in-person activities normalized. As result, same-store-sales grew 6 percent in 2022.
“Even as inflation spiked, sentiment was lifted by low unemployment, minimum wage hikes, robust OFW remittances and 100-percent resumption of face-to-face classes,” Puregold said.
“Puregold’s sari-sari store customer base also gained further strength as one of the preferred retail channels in a year that saw robust demand amidst record fuel prices, commodity shortages and higher transportation costs, among others,” it said.
