ROMANIA: Penny Market, investments of 170 million euros in the past two years | Progresiv
Rewe Romania, the German group that owns Penny Market stores on the local market, made direct investments of about 170 million euros in the past two years, 2016 and 2017, the company representatives said at a press conference. The budget has been geared towards Greenfield investments in opening new stores, rebuilding existing units and expanding logistics centers. 
"For 2016 and 2017 together, the Rewe Group invested 170 million euros in Romania. This money went into 47 new stores and in the development of logistical capacity. Last year we opened the second warehouse in Bacau and extended the warehouses from Stefanesti and Turda. We have remodeled over 100 stores on the new Future Store concept", said Daniel Gross, General Manager, Rewe Romania.
Recently, the group has completed the process of renting the commercial galleries of former XXL Mega Discount stores in Braila, Bucharest, Targoviste, Buzau and Ploiesti. In the new format, Penny Market stores occupy about 40% of the total area of the galleries, the rest of the space, with a total rental area of about 10,000 square meters, being occupied by Decathlon, Deichmann, Hippoland, Jysk, Pepco, Takko, TXM, Zoocenter.
2017, one of the best years
As for the year that has just ended, Daniel Gross says it was one of the best so far, along with the development in recent years, the group's financial results being due to be published this spring. The company ended 2016 with a turnover of 2.86 billion lei, up by about 8% compared to the previous year and reported a net profit of 23.75 million lei, increasing by about 85%.
In 2018, Penny Market plans to inaugurate between 20 and 25 new stores and for the next 5-6 years, the plan is to own 400 units in our country.
As for the assortment in the shops, the discounter proposed that by the end of this year it will be made up of 70% Romanian products from local producers, the present share being about 60%. "It's an easy task to say but hard to do. In some areas we do not have producers to support this, especially in the winter, but it's a beautiful desideratum", Gross pointed out.
Penny Market retailer ended 2017 with 27 stores inaugurated, bringing the chain to 221 operational stores in Romania. Rewe's latest investments in this respect were completed in December and included the opening of six stores in five counties in Romania and in the Capital.
