SRS Value Bazaar is planning to invest Rs 200 crore in next five years for expanding its sales network with addition of 100 stores. With these 100 store the total count will rise to 150 stores.
“We would invest around Rs 200 crore towards expansion. We would add around 100 stores and are expecting to have 150 stores by FY 2020-21,” SRS Group President and Chief Strategy Officer Tinku Singh was quoted by PTI as saying.
He further added: “In four to five years time we would be roughly looking around 150 stores, which should convert into (sales of) somewhere around Rs 600 crore.”
The company is recording a 15 per cent year-on-year growth and recorded a turnover of approximately Rs 210 crore in 2015-16 from both online and offline formats.
“This year (fiscal) we are expecting to be around Rs 230 to Rs 240 crore,” he added.
According to Singh, out of 150 stores around 120 stores would be in company-owned-company-operated format and rest 30 would be on the franchise model.
“NCR would be one of the area. We are now also looking other areas and going towards South, Central, East and West regions for the growth,” he added.
Over funding of the expansion, he said that it would be a mix of internal accruals and debt from consortium’s.
“It would be all mix depending on the business growth. Some would come from business growth, internal accruals and then we have also consortium to support us,” he added.
Currently, SRS Value Bazaar operates around 50 stores mostly located in the NCR region.