Spencer's Retail acquires online grocery startup MeraGrocer

With this deal, Spencer's Retail plans to foray into the eCommerce sales. Spencer's will turn the holding company of meragrocer.com, Omnipresent Retail India, as its wholly-owned subsidiary.
Spencer’s Retail

Kolkata-based chain of retail stores, Spencer’s Retail has recently acquired 100 percent stake in online grocery startup, meragrocer.com. The size of the deal is still not disclosed by either of the companies.
With this deal, Spencer’s Retail plans to foray into the eCommerce sales. Spencer's will turn the holding company of meragrocer.com, Omnipresent Retail India, as its wholly-owned subsidiary.
Meragrocer.com currently operates in Delhi NCR with a gross merchandise value of around 5 crore.
Commenting on the acquisition, Shashwat Goenka, Sector Head, Spencer’s Retail said, "We are eyeing Rs 500 crore gross merchandise value from e-commerce in five years. This will become an omni-channel front for us and we will take it to all markets where Spencer's has stores which will become the warehouses and servicing points."
The cost of acquisition for meragrocer.com is much lower than what it would have been to set up a greenfield operation for e-commerce, he added.
"The acquisition will help us to break even faster. Loss at Spencer's Retail is already down to 2 crore per month in the second quarter as compared to 9.5 crore per month five years back," Goenka said.

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