Future Group chief Kishore Biyani is looking to hive off hypermarket chain Big Bazaar and list it to unlock value as part of ambitious restructuring and growth plans to become a Rs 25,000-crore group in four years.
Future Group is looking at adding 18 million sq.ft. of retail space across various formats by 2013-14 and is looking at various options to raise money for expansion — listing of the value retail chain Big Bazaar being one of them.
“There are opportunities which we are looking at, including whether one should knock-off Big Bazaar into a separate company and probably look at listing or a follow up offer on that,” Future Group Chief Executive Officer Kishore Biyani said.
“There are possibilities (on hiving off Big Bazaar) but nothing is on the cards at this moment. It depends on the fund raising exercise,” he added.
The possibility of hiving-off Big Bazaar assumes importance at a time when Future Group is aiming to become a Rs 25,000 conglomerate in 3-4 years, with a total retail space of 30 million square feet.
The group has currently a turnover of Rs 10,000 crore and Biyani had earlier this week said it is looking to grow by two and half times.
Source: Financial Chronicle