Praktiker To Build 25 Outlets In Ukraine

FRANKFURT, Germany -- Praktiker AG, the German home-improvement retailer, plans to add 25 stores in Ukraine over coming years, making the country its largest foreign market, Handelsblatt said, citing management board member Michael Arnold.

A Praktiker AG home-improvement store in Bulgaria.

Ukraine may overtake Greece, where Praktiker has annual sales of 259 million euros ($380 million), the newspaper reported.

The stores will have revenue of about 300 million euros, it said.

Praktiker, which opened its first Ukrainian store in the city of Donetsk at the end of last week, aims to open three to five outlets a year in the country, Handelsblatt said.

Construction of a store in Lviv already started and building work on another in Kiev will start soon, the newspaper said.

Praktiker is entering the market ahead of German competitor and market leader OBI Bau & Heimwerkermaerkte GmbH, which plans to open several stores in Ukraine next year, Handelsblatt said, citing an unidentified OBI spokeswoman.

Source: Bloomberg