MANILA - AllHome Corp said it is undaunted over the entry of Swedish furniture maker IKEA as home improvement items are constantly in demand amid the country's booming real estate sector, its vice-chairman said Thursday.
IKEA only has a "slight" product overlap with AllHome that offers construction materials, tiles, furniture, appliances as well as linens, company vice chairman Camille Villar told ANC during the launch of its initial public offering (IPO) at the Philippine stock exchange.
The world's largest IKEA store is set open at the Mall of Asia complex next year.
"Home improvement retail is a very beautiful industry to be in. Demand is constant. We are excited to have Ikea here, it's complementary to our format," Villar said.
"When times are good and booming people are investing in real estate and buying new and bigger homes, when times are not so good people extend homes, renovate...the journey never ends," she added.
The company, operated by the family of the country's richest man Manny Villar, decided to push through with its public listing due to the positive reception received by its stores in 2018, the younger Villar said.
AllHome's P15-billion IPO is the country's biggest in the last 3 years.
Villar said the company aims to double the number of its outlets this year to "dominate" the "underpenetrated" industry. It currently has a 7.1 percent market share, she added.
Other retail businesses such as All Day Supermarket, All Day convenience store and the Coffee Project are also part of the Villars' AllValue Holdings Corp.