Hudson's Bay CEO plans to invest 1 billion euros in Kaufhof: Handelsblatt

Fri Mar 11, 2016 2:10am EST
 
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FRANKFURT (Reuters) - Canadian department store operator Hudson's Bay Co (HBC.TO: Quote) plans to invest 1 billion euros ($1.12 billion) in its German chain Kaufhof over the next five to seven years, its chief executive told German business daily Handelsblatt.

"It's a big amount we are prepared to invest because we are convinced that Germany is a great market and that department stores have a future here," Jerry Storch was quoted in an interview on Friday.

Saks owner Hudson's Bay bought Kaufhof for 2.8 billion euros last year, giving it a launch pad to expand into Europe, something Storch said was on the cards.

"We are looking at Germany's neighbor countries. Apart from the German-speaking regions, we think the Benelux countries are interesting for us," Storch said, adding the company would open a new department store in Luxembourg in 2018.

(Reporting by Christoph Steitz)

 
People walk into the Hudson's Bay Company (HBC) flagship department store in Toronto January 27, 2014.  REUTERS/Mark Blinch