7-Eleven franchise to open in Cambodia

• Sommana Yan
• 9 May 2020
• Local News
• 18704 Views

Since May, the opening of a 7-Eleven franchise in Cambodia has been a hot topic and subject to analysis by experts at the Thai stock market.

“CP All, Cambodia has received a 7-Eleven business contract in Cambodia, which can be said to be a very positive thing for CP,” said Three Thip Wongsaengphaibun Senior Director, Analysis Department of Kasikorn Securities.

He also pointed out that the company saw the retail market in Cambodia remains as competitive as the Thai retail market. Currently, Cambodia does not yet have a large market, so it is an opportunity for CP All to enter at this time. In addition, over the past few years, CP All has expanded its branches into Cambodia. For this reason, CP All has sufficient information about customer behaviour in various groups and also as a funding source for strategic sales applications.

The sentiment and analysis came after Mr Kriengchai Bunpho Aphichat, Chief Financial Officer, CP All Public Company Limited, updated the Thai Stock Exchange (SET) that CP All (Cambodia) Co. Ltd., a subsidiary of Thailand’s largest conglomerate, has reached an exclusive agreement for importing the 7-Eleven franchise to Cambodia through parent company 7-Eleven, Inc.

At the same time, CP All (Cambodia) Co., Ltd. It has been granted a business license to establish and operate 7-Eleven stores in Cambodia for 30 years with stores opening from 2021 onward. The contracting party may agree to renew two more contracts every 20 years.

CP All (Cambodia) Co., Ltd. one of the largest companies in Cambodia, is a Cambodian company preparing to operate the 7-Eleven franchise. In addition, the Franchise Agreement in Cambodia requires a stake of US$5,000 to acquire the rights to operate the business.

In addition, CP All is waiting for another license to open a 7-Eleven franchise in Laos. If Laos issues the permit, then CP All will become the exporter of the rights to two ASEAN countries.

By the end of last week at 3 pm, the share price of 70 baht had increased by 0.25 baht, or 0.36%, with a profit of 2.3 billion baht.

• Business and Market