Dive Brief:
- Walmart Canada on Thursday announced it plans to invest 6.5 billion Canadian dollars (about $4.5 billion as of press time) into its store and supply chain footprint.
- As part of the initiative, the retailer is planning to open dozens of stores across the country, starting with opening five supercenters in Ontario and Alberta by 2027, two of which are slated to open this year, according to a company announcement.
- Walmart Canada is also planning to open a distribution center in Vaughan, Ontario, this spring.
Dive Insight:
The company’s investment is the largest of its kind since Walmart Canada began operations about 30 years ago, Guilherme Loureiro, regional CEO of Walmart Canada, Chile, Mexico and Central America, said in a statement.
Walmart Canada plans to open its Port Credit supercenter this summer. Another supercenter at Hopedale Mall is slated to open later this year. Three supercenters are slated to open in Calgary, Edmonton and Fort McMurray in Alberta by 2027. Additionally, the retailer plans to open its Vaughan Distribution Center this spring.
The investments announced this week will also support the modernization and expansion of the company’s Canadian supply chain. Walmart Canada also announced Thursday that Canada Cartage has acquired the company’s fleet business. The company declined to disclose the financial terms of the deal.
The investment comes on the heels of several executive appointments at Walmart Canada, including Venessa Yates as CEO. Yates, who was appointed to the chief executive role last week, was previously senior vice president and general manager of the company’s Walmart+ membership program. She replaces Gonzalo Gebara, who is leaving the company late next month after 25 years for family reasons and to pursue other interests.
"The Canadian business, with its 100,000 associates and impressive 30-year history, has always been a source of pride," Yates said in a statement. "We're currently in growth mode and I'm excited about our future."
Additionally, Steve Schrobilgen was named Walmart Canada's chief operating officer. His responsibilities include oversight of supply chain and real estate. Schrobilgen’s prior position was senior vice president and business unit leader for Walmart in the Western U.S.
Thursday’s announcement also comes as Walmart Canada wraps up a prior 3.5 billion Canadian dollar investment, first announced in 2020. Under that initiative, the company said it updated more than 180 stores, added four stores in Victoria, British Columbia, and Montreal and relocated two stores in Edmonton and Vaughan, Ontario.
Additionally, the company invested 800 million Canadian dollars to open a fulfillment center and three distribution centers, including the Vaughan location. The company also touted its 200 million Canadian dollar investment last year in pay increases for Walmart Canada’s frontline workers.
