Aeon forms Malaysian JV
Japanese retail giant Aeon and Thailand’s Index Living Mall have joined together in a Malaysian joint venture.
Aeon and Index Living Mall will own 70 per cent and 30 per cent, respectively, of the joint venture called Aeon Index Living Sdn Bhd.
The JV plans 20 stores by 2020 with the first to open next year.
Index Living Mall is a successful furniture chain likened by some as an Asian answer to Sweden’s Ikea.
For Index Living Mall, which operates special malls entirely devoted to selling furniture not only in Thailand, but also in markets like Vietnam, Myanmar, Nepal, Laos as well as Dubai, the new venture will leverage its brand across the region.
While for Aeon, it will support its goal to become a leader in retail in Asia, it says.
The two companies are optimistic about the new venture citing that Malaysia’s home furnishings market is still fragmented with few international brands. The country’s per capita income is also twice that of Thailand, making the market more attractive.