Malaysian retailer Parkson has taken over the management of Saigon Paragon, a high-end department store in Ho Chi Minh City's District 7 that closed last year for lack of business.
The shopping mall reopened on Saturday, after a closure of more than three months. A Saigon Economic Times report said Parkson will manage the mall for 19 years, replacing Vietnam's Paragon Corp.
Tham Tuck Choy, general director of Parkson, said his company has invested US$5 million in redesigning the department store. Saigon Paragon now has more than 130 stores of both international and local brands, he said.
Choy said the company has been eying District 7 for a long time. The district, where the urban area Phu My Hung is located, has many affluent families and foreigners and they are the target customers of Saigon Paragon, he said.
Paragon Corp., in an unexpected move, shut down the mall last October. The company said at the time that it wanted to hire Parkson to manage the mall "more professionally."
With this takeover, Parkson has seven shopping malls under its name in Vietnam, including three that it manages.