UB Group in talks with overseas retail chain partner
Vijay Mallya’s UB Group is in talks with two overseas companies for a proposed entry into India’s organised retail market to gain a share of business worth some $400 billion.
October 15, 2009 | comments ( 1 ) |
Vijay Mallya’s UB Group is in talks with two overseas companies for a proposed entry into India’s organised retail market to gain a share of business worth some $400 billion. MCF International Ltd, the UB Group unit has started preliminary discussions with two multinational players. MCF International is a two-year-old, wholly owned subsidiary of Rs 2,400 crore Mangalore Chemicals and Fertilizers, formed primarily to enter agricultural produce marketing and retail. The company is looking for a partner such as a large supermarket chain, with experience in logistics and reaching out to consumers. Whatever form of proposed partnership may take, the company is sure about wanting to be involved in the processes that lead up to the retail counter. MCF International wants to be the exclusive supplier of vegetables, fruits, grains and pulses to the planned retail entity. The company has an experience of 33 years in dealing with farmers and selling fertilizers to them. MCF advises farmers on inputs; buys their produce at market price; grades, cleans and sorts the produce and sells it to supermarket chains, industry canteens and hotels. Last month, group chairman Mallya announced at the company’s annual general meeting an investment of Rs500 crore for MCF’s retail entry. This sum has now been trimmed to Rs350 crore because of lower equipment costs.
- Puma hires boxing champion Mary Kom as brand ambassador
- Epic Group to make $20 million investment in India
- Simon Carter to launch 3 new Indian franchise stores
- Titan Eyeplus open 3 new stores in Coimbatore
- V-Mart eyes tier 3 & 4 cities for expansion
- 7-Eleven eyes entering India with Future Group
- Bharti Airtel opens its 100th Next-Gen store
- WoodenStreet plans to launch 15 stores by 2019-end
- Skechers acquires Future Group's 49% stake in joint venture
- Bata reports 16% growth in net sales at Rs 7,787 mn