KOLKATA: Relationship between the Kishore Biyani-controlled Future Group and V P Sharma-promoted Planet Retail Holdings seem to be in choppy waters. It is rumoured that the Future Group, which holds 49% stake in Planet Retail Holdings, is likely to offload the entire stake and come out of the joint venture.
Future Group officials were not available for comments. Planet Retail’s officials declined to comment. However, sources close to the matter said that the joint venture is not working out to the advantage of both parties and that Future wants to offload its entire 49% stake.
Sources indicated that when Future had taken up stake in Planet Retail, it was looking for a good international partnership and Planet Retail seemed to fit the bill - it was based out of Indonesia, had a strong product line and brands (Pantaloons then had no international brands in its portfolio) but without the experience to penetrate the Indian retail scene.
The Future Group, on its part, brought to the table good quality real estate, right mall partners, a strong administrative team, etc.
But now, the Future Group is aggressively following an expansion plan of its own and is interested in focusing on international brands from various parts of the world.
After having sewn up three crucial joint ventures — with Lee Cooper, Etam of France (for women’s lingerie) and Alpha Airports of UK — the group is in talks with companies in the US and Europe for forging more such ties in the mass and premium retail space.
It is also gearing up to launch Starbucks in India.
Planet Retail, which brought to India, among others, high-profile names like Marks & Spencer, Guess, Next, Body Shop, Speedo, Converse, Debenham departmental stores and Callaway golfing gear, is primarily focused on European brands. And herein could lie one of the reasons for a likely parting of ways in the future. Planet Retail, meanwhile, has expanded rapidly in India with 55 stores spread across one lakh square feet and so its dependence on the Pantaloons network has also lessened over the past few years. Moreover, said a source, Planet Retail seems more interested in bringing to India the brands it has access to while Future is scouting around for newer labels.
Planet Retail, which was originally known as Planet Sports, a sports lifestyle company, but changed over to its present branding about a year ago, also offers Planet Sports, Sports Wearhouse and The Athlete’s Foot in the sports lifestyle space.
source : DnaIndia
Future Group officials were not available for comments. Planet Retail’s officials declined to comment. However, sources close to the matter said that the joint venture is not working out to the advantage of both parties and that Future wants to offload its entire 49% stake.
Sources indicated that when Future had taken up stake in Planet Retail, it was looking for a good international partnership and Planet Retail seemed to fit the bill - it was based out of Indonesia, had a strong product line and brands (Pantaloons then had no international brands in its portfolio) but without the experience to penetrate the Indian retail scene.
The Future Group, on its part, brought to the table good quality real estate, right mall partners, a strong administrative team, etc.
But now, the Future Group is aggressively following an expansion plan of its own and is interested in focusing on international brands from various parts of the world.
After having sewn up three crucial joint ventures — with Lee Cooper, Etam of France (for women’s lingerie) and Alpha Airports of UK — the group is in talks with companies in the US and Europe for forging more such ties in the mass and premium retail space.
It is also gearing up to launch Starbucks in India.
Planet Retail, which brought to India, among others, high-profile names like Marks & Spencer, Guess, Next, Body Shop, Speedo, Converse, Debenham departmental stores and Callaway golfing gear, is primarily focused on European brands. And herein could lie one of the reasons for a likely parting of ways in the future. Planet Retail, meanwhile, has expanded rapidly in India with 55 stores spread across one lakh square feet and so its dependence on the Pantaloons network has also lessened over the past few years. Moreover, said a source, Planet Retail seems more interested in bringing to India the brands it has access to while Future is scouting around for newer labels.
Planet Retail, which was originally known as Planet Sports, a sports lifestyle company, but changed over to its present branding about a year ago, also offers Planet Sports, Sports Wearhouse and The Athlete’s Foot in the sports lifestyle space.
source : DnaIndia