FEMSA to Invest MX$58 Billion in 2025, Boosting OXXO, Spin

Fomento Económico Mexicano (FEMSA) plans to invest MX$58.8 billion in 2025, setting a record for annual capital expenditure as it expands its convenience store and beverage businesses across Latin America and Europe.

The investment marks a 15% increase over 2024 spending and aims to bolster operations in divisions including OXXO convenience stores, Coca-Cola bottling, pharmacies, gas stations, the fintech platform Spin, and discount retail stores.

FEMSA has doubled its capital expenditures in the past four years. In 2022,it allocated MX$24.4 billion to organic growth, according to financial reports. Its Proximity division, led by OXXO stores, remains the largest revenue contributor. In 2024, OXXO generated MX$307.2 billion, accounting for 39% of FEMSA’s total sales.

For 2025, FEMSA will dedicate MX$18.1 billion to its Proximity Americas division, representing 30.7% of total capital expenditures and an 11% increase from 2024. The investment will support over 1,000 new store openings, remodels, logistics enhancements, technology upgrades, and new transportation equipment.

In Europe, FEMSA plans to allocate MX$2.2 billion to Valora, the Swiss retail group acquired in 2022. This represents a 1.4% decrease from 2024 and will focus on store openings, remodels, and production facility expansion.

Coca-Cola FEMSA will receive the largest share of investment, at MX$31.6 billion or 53.7% of total expenditures, up 6.9% from 2024. Funds will be used to expand manufacturing and distribution, acquire returnable packaging, enhance technology infrastructure, and grow key markets. Approximately 40.2% will be invested in Mexico, with the remainder targeting South America. Financing will come from internal resources.

FEMSA’s health division, including the YZA, FM Moderna, and Cruz Verde pharmacy chains, will receive MX$2.6 billion, a 44% increase from 2024. The funds will support new branches, warehouse expansions, and technological upgrades.

OXXO Gas, the fuel division, will receive MX$281 million, the smallest allocation among all segments, for service station renovations and IT upgrades.

In its "other businesses" category, FEMSA will invest MX$4 billion in formats such as Tiendas Bara, its discount retail chain, which competes with Tiendas 3B and Tiendas Neto in the value segment.