Walmex to expand, modernize its stores

FILE - In this Nov. 18, 2020 file photo, a Walmart store sign is visible from Route 28 in Derry, N.H. (AP Photo/Charles Krupa, File)

Walmart Inc.'s Mexican division plans to invest 27% more this year than last year on new and existing stores, technology, and its supply chain, the company said at its annual analysts' meeting.

Walmart de Mexico y Centroamerica, often referred to as Walmex, will spend $1.5 billion "investing strategically in customer-centric projects and strengthening the foundations to drive sustainable long-term growth," the company said Tuesday.

Guilherme Loureiro, Walmex's chief executive officer, told analysts that about 45% of the investment will be spent on remodeling and updating stores.

About 29% of the funds will go to build new stores and clubs. The company didn't say how many it will build. Another 14% will go toward technology projects in its digital platforms, analytic capabilities and store automation.

Finally, 12% will be allocated to expand and modernize the company's supply chain.

Walmex also said it learned Monday that it has government approval to purchase a Mexican fintech company.