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Fast Retailing, DNP Hldgs set up Malaysia venture

By
Reuters
Published
today Jun 29, 2010
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Fast RetailingUniqlo Summer Styling Collection S/S 2010

TOKYO June 29 (Reuters) - Japan's Fast Retailing Co, the operator of Uniqlo casual wear shops, said on Tuesday it has set up a joint venture with a unit of DNP Holdings (DPBM.KL) to open stores in Malaysia.


The company, which competes with Gap (GPS.N) and H&M (HMb.ST) in the budget apparel sector, has been aggressively expanding in Asian markets to feed its growth.


The Uniqlo chain has about 800 stores in Japan and runs 60 in China and 50 in South Korea.


The company said it plans to open its first store in Malaysia by the end of this year.


"We have positioned Asia as a strategic region and we think Malaysia has a very good business potential," said Uniqlo spokesman Daisuke Hase.


Fast Retailing said it would hold a 55 percent stake in the joint venture with DNP Clothing, a wholly owned unit of DNP Holdings.

(Reporting by Sachi Izumi and Taiga Uranaka; Editing by Michael Watson)

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