DLF Brands, retail arm of real estate major DLF, plans to open 500 stores selling luxury lifestyle labels in the next five years. The proposed pan will witness the company investing over Rs 10 billion, informed Kelvin Coyle, managing director, DLF brands to Business Standard.
Already partnering seven international brands such as Giorgio Armani and Salvatore Ferragamo, the company also plans to tie up with 12-15 global brands in the next five years, Business Standard further reports. The company further plans to fund its expansion through a mix of equity and debt and go in for tie-ups through joint ventures (JVs) and franchise routes with focus of expansion on metros such as Delhi, Mumbai, Hyderabad and Chennai in the initial phase, the report further adds quoting Coyle.
“We know there is an economic slowdown. Today, our business plans are not the same as we were looking at a year ago. While chalking out our current plans, we have factored in the downturn and reduced the plans by 25 per cent,’’ said Coyle in the report.
On anticipated investment, he said it might go up or down, depending on overall conditions and the retail environment. The company plans to open at least 100 stores by the end of 2010, Coyle added.
DLF Brands currently has joint ventures with international brands such as Giorgio Armani Holding BV, Salvatore Ferragamo and Boggi, and franchising agreements with brands such as Alcott, Sia Home Fashion and Sun Glass Hut. With its current portfolio, DLF has over a dozen stores in the country.
— IndiaRetailing Bureau