Private Equity Firm SAIF partners may buy around 30% stake in Delhi based kidswear retail chain Catmoss for Rs. 70 crore.
Catmoss runs around 150 exclusive brand oulets.
Established in early 2000, it clocked a net profit of around 7.5 crore with a revenue of Rs. 130 crore.
This is second PE investment after TPG and Bain Capital took 35% stake in Lilliput Kidswear.
The Market for children's apparel is about Rs. 21000 crore.
Showing posts with label Retail News. Show all posts
Showing posts with label Retail News. Show all posts
Wednesday, June 2, 2010
Monday, April 26, 2010
Foreign Direct Investment in Multi Brand Retail
The government is thinking of granting 51% FDI in multi-brand retail.
Under the existing rules, upto 51% foreign investment is permitted in single brand product.
FDI upto 100% is allowed in wholesale cash-and-carry trade.
However, the permission will come with stiff riders such as the retail store should be located in cities with a min. population of one million. There are also rules for minimum capitalisation and minimum built up area. Also there are rules to encourage procurement from local manufacturers.
India has 15 million retail outlets. Only 4% of the outlets are bigger than 500 sq feet and the remaining 96 per cent are in unorganised sector.
Under the existing rules, upto 51% foreign investment is permitted in single brand product.
FDI upto 100% is allowed in wholesale cash-and-carry trade.
However, the permission will come with stiff riders such as the retail store should be located in cities with a min. population of one million. There are also rules for minimum capitalisation and minimum built up area. Also there are rules to encourage procurement from local manufacturers.
India has 15 million retail outlets. Only 4% of the outlets are bigger than 500 sq feet and the remaining 96 per cent are in unorganised sector.
Thursday, April 22, 2010
Arvind Brands Shakes Hands with Sixty Group
The Deal is to bring menswear label Energie into the country
Sixty Group
Sixty Group
Origin: Italy
Product: Denim
Age: 20 years old brand
Brands under Sixty Group: Miss Sixty, Killah and Murthy&Nye, Energie, Richlue and Baracuta
Arvind Brands
1. Headed by Sanjay Lalbhai
2. Joint Venture with VF Group: Controls the rights of Lee and Wrangler in Indian Market.
3. Other Licensing Agreements: Gantt, Izod, Arrow and US Polo, VF Corporation and Tommy Hilfiger
4. Other Brands: Flying Machine, Excalibur and Newport.
5. Arvind Brand: 230 crore Subsidiary of Arvind Mills.
6. COO of Arvind Brand: J Suresh
Strategy
6. COO of Arvind Brand: J Suresh
Strategy
1. Energie Jeans would be priced on par with Diesel, which is having a 49:51 Joint venture with Reliance Group. Diesel carries a price tag of Rs. 8000 to 10000.
2. Energie will play in the super premium segment, Lee and Wrangler will be in the premium market.
3. Price of Energie will start at around 3500 for a pair of jeans
3. Price of Energie will start at around 3500 for a pair of jeans
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