Chile-based multi-format retailer Cencosud has announced a $600 million investment to expand its footprint and fuel other growth initiatives.

Founded in 1960, Cencosud operates supermarkets, home improvement stores, department stores and shopping centers across the US, Chile, Argentina, Brazil, Peru, and Colombia. It currently operates 1446 locations, including 172 retail stores under The Fresh Market brand in the US.

The company said the investment will be allocated to growth initiatives for this year, primarily the opening of new stores, renovations and expansions of shopping centers, and real estate developments on available land.

The company expects to open 20 new stores across various formats, adding more than 42,000sqm of sales floor space, including 17 supermarkets, seven of which will be The Fresh Market stores in the US.

The retailer will also advance its shopping center development and expansion plan, which will add more than 40,000sqm of gross leasable area.

The remainder of the capital will be used to strengthen the retail ecosystem, accelerate digital transformation, expand e-commerce and the retail media business, and enhance logistics.

“These investments will allow us to accelerate our organic growth, continue strengthening the customer experience, and further consolidate Cencosud’s value proposition in each of the markets where we operate,” said CEO Rodrigo Larraín.

For this year, Cencosud expects consolidated revenues of $18.4 billion and adjusted EBITDA of $1.8 billion, with double-digit margins in Chile, Peru and the US. 

Further reading: Burger King secures $350 million investment, plans 4000 restaurants in China