PUCHONG: Tesco Stores (Malaysia) Sdn Bhd is expanding its market presence by opening five more new stores at Klang Valley, Johor and Penang in the next two fiscal years.

Tesco's chief executive officer, Georg Fischer said the additional stores will enable the retailer to tap into growth potential in urban areas.

"In this (financial) year, we will open two new stores and another three stores next year," he said during a nationwide price cut campaign last week.

During the 12-week promotion period, beginning from September 20 until December 1, Tesco will invest RM2.3 million to keep the prices of 18 essential fresh food items low. Prices cut could be as low as 37 per cent.

"We know the rise (fuel hike) has significant impact. We communicated with Domestic Trade, Cooperatives and Consumerism Minister Datuk Hasan Malek a couple weeks ago, and come out with a price cut campaign to help customers better manage their living cost," he said.

Fischer added that after the campaign ends, Tesco will consider whether it will implement the second round of price cut or not.

An expansion in Sabah and Sarawak is also on the cards. Tesco now operates 47 stores across Peninsular Malaysia.