BEIJING (dpa-AFX) - Lego, the world's largest toymaker by sales, is planning to open more stores internationally by the end of this year and also invest heavily in e-commerce. The family-owned company is investing more for long-term as others in the toy industry struggle to deal with the rising popularity of digital devices.
The Danish toymaker said it will continue to invest in China, a strategic growth market for the group, and is on track to have more than 140 stores in 35 Chinese cities by the end of this year. It also plans to open an office in Mumbai in early 2020 to expand its presence in India.
The company will open more than 70 stores carrying the Lego Brand outside of China during 2019, including a flagship store in Amsterdam in December that will be the brand's fifth flagship store.
Lego also decided to invest in upgrading its e-commerce platforms to improve the user experience for consumers.
'We are satisfied with our performance given the transformative shifts which continue to reshape the global toy industry. Against this backdrop, we continue to grow consumer sales and market share in our largest markets,' Lego Group CEO Niels Christiansen said.
In June, a consortium including Lego owner Kirkbi, private equity firm Blackstone Group LP and Canada Pension Plan Investment Board had agreed to acquire Merlin Entertainments plc in a deal that valued the company at about 4.77 billion pounds, or $6.06 billion.
Merlin is the owner of the Madame Tussauds wax museums in London and other major cities. It is also the owner of the London Eye Ferris wheel and operator of Legoland theme parks around the world.
Lego Group began manufacturing the interlocking toy bricks in 1949. Games, competitions, movies and Legoland amusement parks have been developed under the brand.
Among others in the industry, retailer Target Corp. announced a retail collaboration with Walt Disney Co. to open 25 Disney stores within select Target stores nationwide. The move is part of Target's efforts to expand further into the toy business.
Toy retailer Toys'R'Us, which closed all of its 700 stores in the U.S. in June 2018, is planning to make a comeback this holiday season.
Copyright RTT News/dpa-AFX
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