The group is expected to open two more stores within this year.
Sheng Siong Group (SSG) opened two new stores, bringing their total store count from 44 to 52 and their total store wins to eight.
According to an announcement, the first new store located at Block 785E Woodlands Rise, was won through the Housing and Development Board’s (HDB) private tender and has a size of 10,030 sqft.
The second store is located in Junction 10 at Woodlands as well, and has a size of 20,370 sqft. Sheng Siong entered an agreement with Dollar Land which is conditional upon Dollar Land delivering vacant possession of the premise.
Both properties are expected to be fully operational by September 2018. Sheng Siong signed two more leases for stores which are expected to open this year.
RHB Research forecasts that Sheng Siong has potential to grow further following more new store wins for the group. Sheng Siong is also said to be the highest bidder for two new shops at Block 451 Bukit Batok, and Block 573 Woodlands.
“Based on the HDB website, there are still six new supermarkets sites scheduled for tender from now until the end of the year. Any further new store wins for Sheng Siong would provide further upside potential to our current estimates,” said analyst Juliana Cai.
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