Australian duty free business acquired by Korea’s Lotte
25 Jan 2019
South Korean retail travel giant Lotte Duty Free has acquired JR/Duty Free in Australia and New Zealand for an undisclosed sum.
The Korean company has been looking to enter Australia’s strong duty free market for a number of years, according to TR Business. Lotte Duty Free estimates Australia’s duty free market registered sales of around A$1.2 billion in 2018 and outbound traveller numbers are increasing by 10% each year.
‘The acquisition is an important strategic milestone as Lotte Duty Free becomes the first Asian player to operate duty free in Australia and New Zealand,’ says Jang Seon-wook, CEO, Lotte Duty Free Shop.
Lotte will take possession of JR/Duty Free’s on-airport stores in Brisbane, Darwin, Wellington and Canberra, and its CBD store in Melbourne. These locations will complement its existing stores in in Bangkok, Jakarta, Tokyo, and on-airport stores in Guam, Kansai, Da Nang and Nha Trang Cam Ranh.
‘I am pleased that Lotte is committed to growth in our region as the first Asian player to operate in Australia and New Zealand,’ says Evelyn Danos, owner and Chairman of JR/Duty Free. ‘It will provide enormous opportunities to all the stakeholders, employees, airports, suppliers and most of all, customers.’
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