TAIPEI (Taiwan News) — Simple Mart Retail, the parent company of the Simple Mart supermarket chain, announced on Friday that it plans to acquire convenience store chain Ok Mart.
The deal is valued at NT$125 million (US$4 million). It covers all common stock and the intellectual property necessary for operations, according to Global Views Monthly.
The company said Simple Mart supermarkets and Ok Mart convenience stores will continue to operate independently, maintaining their current operating models. Simple Mart Retail described the acquisition as part of its long-term strategy to combine the operational strengths and resources of both chains, aiming to enhance operational efficiency and customer experience.
Nearly 14,000 convenience stores now operate in Taiwan, with over 400 added in the past year. By contrast, Ok Mart’s store count has fallen sharply, from around 600 at the start of last year to just 329 as of Jan. 23.
Simple Mart supermarkets operate approximately 813 stores nationwide. The addition of Ok Mart’s stores will push the network past 1,000 locations.
“This will put significant pressure on Hi-Life,” said Wu Shih-hao (吳師豪), professor of Marketing and Distribution Management at National Kaohsiung University of Science and Technology. Hi-Life, Taiwan’s third-largest convenience store chain by store count, operates about 1,800 stores.
Wu noted that Simple Mart occupies a position between a convenience store and a supermarket, offering a simplified fresh food selection. He described the acquisition as a strategic move that could benefit both parties.
For Ok Mart, Wu observed, many outlets are located in remote or rural areas, leaving the chain vulnerable in a highly competitive market. The backing of Simple Mart Retail is expected to strengthen Ok Mart’s purchasing power and marketing capabilities.
Meanwhile, Simple Mart, whose stores are roughly 70% franchise and 30% company-operated, has faced limitations on expansion. The acquisition enables it to “instantly” reach over 1,000 locations, Wu said, filling gaps in its network and enhancing market coverage.
