IKEA’s largest franchise owner is planning to spend about $3.16 billion to redesign its big-box stores to serve as online distribution hubs and expand new smaller-footprint stores in city centers around the world.

Ingka Holding BV, the largest owner and operator of IKEA stores, said it will include distribution hubs in 30% to 40% of its big-box stores, converting a portion of the retail space into a parcel distribution center.


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