Joint department store venture launched

President Chain Store Corp (統一超商), operator of the world's third-largest 7-Eleven franchise, yesterday announced it would extend its tentacles into the department store sector by forming a joint venture with its parent company, Uni-President Enterprises Corp (統一企業).

With an initial capital of NT$500 million (US$15.4 million), the venture, Uni-President Department Store Corp (統一百華), is 70 percent controlled by President Chain Store and 30 percent by Uni-President Enterprises, it said in a press release yesterday.

The new company is expected to collaborate with Japan's Hankyu Department Stores Inc in introducing products, management know-how and personnel training. They plan to launch a new department store brand in Taiwan, with the first location situated in the Dream Mall (夢時代購物中心) in Kaohsiung, according to the release.

The Dream Mall, which was developed by the Uni-President Group (統一集團) and claims to be the nation's largest shopping center, is scheduled to open its doors for business in the fourth quarter of this year.

The planned mall, located next to Kaohsiung Harbor, aims to attract 12 million visitors a year, on a projected NT$14.4 billion in first-year sales, according to Uni-President Group.

This joint venture was also approved by the nation's Fair Trade Commission yesterday.