Falabella will invest $900 million and open 17 stores in Latin America by 2026

Member News
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Jan 2026
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Modaes

What: Falabella is increasing its annual investment by 40% to expand its retail footprint and technological capabilities in Chile, Peru, Mexico, and Colombia.

Why it is important: This expansion reflects a renewed commitment to regional leadership and aligns with Falabella’s recent acquisitions and digital transformation efforts.

Falabella is set to boost its annual investment by 40%, reaching $900 million in 2026, to accelerate its expansion across Latin America. The company’s strategy includes opening 17 new stores in Chile, Peru, and Mexico, while also dedicating substantial resources to remodelling existing locations and enhancing digital capabilities. Approximately $500 million will be used for store and shopping centre upgrades, $265 million for technological improvements, and $113 million for new store openings. This investment surge follows Falabella’s acquisition of its Colombian partner’s minority stake, further consolidating its presence in the region. The company’s CEO, Alejandro González, emphasises disciplined investment focused on generating value for over 37 million customers. Banco Falabella is also prioritising technological advancements to improve its financial services. These moves come amid strong financial results, with a 9.4% revenue increase and improved profit margins over the past year, underscoring the effectiveness of Falabella’s integrated approach to retail and digital transformation.

IADS Notes: Falabella’s $900 million investment and expansion plan for 2026 builds on its January 2026 acquisition of Organización Corona’s minority stake in Colombia, reinforcing operational control and supporting logistics and digital infrastructure (Modaes, January 2026). This move is consistent with the company’s return to pre-pandemic investment levels noted in September 2025 (Modaes, September 2025), and its robust sales growth and digital transformation initiatives highlighted throughout 2025 (Modaes, August 2025; Press Release, June–July 2025). Investments in logistics, such as the Colombian distribution centre in February 2025 (America Retail, February 2025), and the focus on marketplace sellers during Seller Day in mid-2025 (Press Release, June–July 2025), further illustrate Falabella’s integrated strategy for regional leadership.

Falabella will invest $900 million and open 17 stores in Latin America by 2026