Refuting the media reports regarding the dilution of its stake and that of its vendors stopping the supply of vegetables and FMCG products to them, R Subramanian, managing director, Subhiksha Trading services, said that Subhiksha Retail is all set to make an entry into consumer durables segment soon.
Announcing this plan, Subramanian told reporters, “We are planning to enter the consumer durables segment and will diversify our business. As per plans, we will invest around Rs 600 crore for opening 150 stores by mid-2009.”
“The consumer durables stores would be located across 65 cities including metros and tier I and II cities and will cover a total space of around 20 lakh square feet,” added Subramanian.
Moreover, according to Subramanian, the company also plans to increase the number of its supermarket stores to 2,200, up from its current 1,580 mark and will invest around Rs 400 crore for this project. However, he did not mention anything about the expected turnover of the chain from this project.