V-mart opts for IPO

To raise Rs 120 crore through it.


V-mart plans to raise Rs 120 crore through an initial public offer to fund its expansion strategy. It will be doubling its showrooms to 120 outlets by 2015.

The company is also looking to aggressively expand in the North Eastern region and aims to have a presence in all the states. To start with, it will open the first outlet in Assam in 2014.

Lalit Agarwal, Chairman and MD, V-mart Retail said, "We have an aggressive expansion plan. We are looking to add 58 stores in 55 new locations by March 2015 and almost all of these will be opened in smaller Tier II and III cities. We are planning to invest Rs 180 crore to fund this expansion programme. Out of this, Rs 120 crore in expected to come from the proposed IPO, while rest will be from the internal accruals" 

V-mart Retail has already the filed the draft red herring prospectus with the capital market regulator Sebi and is currently awaiting approval.