Metro Can Increase Valuation Through Emerging Market Investment

German retailer Metro has increased its capital expenditure budget for 2010 and has suggested that the 'economic recovery trend is consolidating'. The firm will invest EUR2.1bn during the year, up from EUR1.9bn, with the money targeted towards growth and expansion. The announcement comes after the firm reported sales growth of 0.6% for H110 (on a constant currency basis) and a rise in adjusted earnings before interest and tax thanks to an ongoing restructuring programme. BMI Believes the bulk of the firm's planned investment should be aimed at emerging markets and that the opportunities for the Metro in these markets explain

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