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BALS Corporation, one of the top Japanese retailers of home furnishing products, today (May 15) opened the Franc franc lifestyle concept store in Causeway Bay - its first store outside the country.

The Associate Director-General of Investment Promotion at Invest Hong Kong, Mr Simon Galpin, was invited to officiate at the opening ceremony of the new store.

The Franc franc new store, which offers home furniture and furnishings, decorative accessories and personal care products, represents a substantial investment in Hong Kong's retail sector. It is operated by BALS Hong Kong Ltd which acts as the regional headquarters (RHQ) of BALS Corporation.

Set up in November 2002, BALS' RHQ in Hong Kong is responsible for developing all retailing, investing and franchising businesses outside Japan.

The President and Chief Executive Officer of BALS Corporation, Mr Fumio Takashima, said: "Hong Kong's mature and sophisticated market is one of the key attractions for BALS. People here have relatively high levels of disposable income, combined with a high expectation for both quality and style when shopping for home furnishings."

Mr Takashima added: "For the home furnishings market in Hong Kong, there is still room for different tastes and styles."

He is therefore confident that the lively and colourful designs sold at Franc franc will become very popular in Hong Kong.

Mr Takashima also stressed that Hong Kong's location and excellent business infrastructure make it an ideal gateway to the mainland market. BALS plans to establish operations in mainland China in about two years.

The Franc franc new store in Hong Kong will create more than 40 new jobs. BALS Hong Kong Ltd also plans to open four more stores over the next two years: one on Hong Kong Island, two in Kowloon and one in Shatin. Its planned investment for the five shops totals HK$30 million.

Mr Galpin congratulated BALS Corporation on its new store in Hong Kong. He said: "Invest Hong Kong is extremely pleased by BALS' investment. It is also very encouraging to see BALS Corporation siting its RHQ here. This continued interest in Hong Kong by international investors confirms that we retain the many attractions that make us a business and financial hub as well as the preferred location for overseas companies to establish RHQs."

Mr Galpin said: "With its regional central command in Hong Kong, Franc franc will now be able to make full use of our institutional strengths and strategic location as an ideal platform for retail, distribution and management.

"Like other well known international brands, having a major store in Hong Kong would enable Franc franc to showcase their products not only to customers from neighbouring mainland cities and Asian countries but also to visitors worldwide."

"The fact that Franc franc is opening today in Hong Kong demonstrates the receptiveness of local consumers towards buying new and different products. This new store and the company's plan to add another four outlets is a clear vote of confidence in Hong Kong, the retail capital of Asia," Mr Galpin continued.

"We wish BALS and Franc franc every success here and hope that they will be able to grow and expand their business in this city, as well as in mainland China and elsewhere in the region."

BALS Corporation operates more than 57 shops, including 51 Franc franc shops. The company employs more than 1,000 staff. BALS Corporation is publicly listed at the Stock Exchange in Tokyo and its registered capital is 701 million Japanese Yen.

Invest Hong Kong is the Hong Kong Special Administrative Region Government department charged with encouraging and facilitating foreign and Mainland direct investment into the city by providing all the support needed to establish a business presence here.

End/Thursday, May 15, 2003

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