Debenhams to open third outlet in Penang

Debenhams, one of Britain's oldest retailers, is opening its third store in Malaysia amid the region's fast-growing economy.

To be located at Gurney Paragon, Penang, the store will be Debenhams' first outlet outside Kuala Lumpur and also its first flagship store for the northern region.

Debenhams Malaysia master franchisee Stellar Retail Sdn Bhd chose Penang as the third location for expansion in the Malaysian retail market after establishing two stores in Kuala Lumpur namely The Curve and Starhill Gallery.

Stellar Retail Managing Director Andy Jackson said the new 20,000 sq. ft. (1,858 sq. m.) store in Gurney Paragon is scheduled to open in July or August next year with construction expected to start in the next few months.

Speaking at a press conference after the signing ceremony between Gurney Paragon and Debenhams today, Jackson said between RM3 million and RM4 million would be invested for the new store, which will employ 30 locals.

Also present were Hunza Properties Bhd executive chairman Datuk Khor Teng Tong and group managing director Datuk Daisy Ooi, Debenhams Plc head of international business development John Scott and Penang state executive councilor Chow Kon Yeow.

Jackson said Debenhams Malaysia plans to open several stores in Malaysia in and outside the Klang Valley, adding that Johor Baharu could be an ideal location for the southern region.

He said Asia including Malaysia would be an important market for Debenhams for the next five years and also the biggest opportunity for international expansion amid the region's fast growth.

Jackson said the Malaysian retail market is becoming more attractive for international retailers after the government abolished duties on fashion items a few years back.

On top of its 169 stores in the United Kingdom, Debenhams' reach has spread to more than 25 countries across the globe with over 70 stores. In Southeast Asia, there are already stores in Indonesia, the Philippines and Vietnam.

Meanwhile, Khor said Gurney Paragon is the only mall in Malaysia with a heritage building, and with St Jo's as a centerpiece could attract some big-name retailers.

He said apart from Debenhams, leading retail group Valiram has confirmed over 10 retail stores bringing along the famed Michael Kors, Swiss Watch Gallery, Victoria's Secret, Tumi, Godiva, Charles and Keith, Pedro and Flow.