MANILA - Davao-based tycoon Dennis Uy's planned acquisition of convenience store chain FamilyMart makes "perfect sense" when combined with the 500-store network of his Phoenix Petroleum, a fund manager said Tuesday.
The gas station infrastructure will give FamilyMart the scale it lacked under the current Filipino partners of the Japanese chain, Ayala Land and luxury retailer SSI, BDO Capital president Ed Francisco said.
It will also give Uy the opportunity to tap FamilyMart stores as transaction points for his logistics business, 2GO, Francisco told ANC's Market Edge with Cathy Yang.
"It makes perfect sense. Remember, he has 500 block stores. He can easily get the economies of scale that the previous owners were not able to achieve," Francisco said. "That should improve profitability."