http://www.managementparadise.com/forums/RELIANCE EYES MARATHA STORES
Mayur Shekhar Jha, New Delhi
The Economic Times
Mukesh Ambani’s Reliance Retail has stepped on the gas and moving real fast on acquisitions. After bidding for Adani Retail in Gujarat, the company is now in advanced stages of talks for acquiring Maratha Stores, a Mumbai-based local co-operative store chain.
According to sources, what’s attracting the retail behemoth is the real estate that the relatively unknown retail chain possesses in India’s business capital. Maratha Stores has a chain of around 20 outlets in various catchment areas of Mumbai. In aggregate, the group has close to 75,000 sq ft of retail space, a large part of it in prime commercial markets. The chain operates in the neighbourhood 500 sq ft format as well as the larger 7000 sq ft outlets.
When contacted by ET, a Reliance spokesperson declined to comment. However, sources close to the development said the company has already prepared its blue print. “While the company may use the 500 sqft shops to enter the corner store format, it could use the 7000 sq ft shops to open Reliance Fresh outlets,” a source said.
Talks with Maratha stores seem to be in sync with the company’s plans to have a presence in high street catchment areas. Earlier this year, Reliance Retail took over 18 Sahakar Bhandar stores in Mumbai on a long term lease.
Mayur Shekhar Jha, New Delhi
The Economic Times
Mukesh Ambani’s Reliance Retail has stepped on the gas and moving real fast on acquisitions. After bidding for Adani Retail in Gujarat, the company is now in advanced stages of talks for acquiring Maratha Stores, a Mumbai-based local co-operative store chain.
According to sources, what’s attracting the retail behemoth is the real estate that the relatively unknown retail chain possesses in India’s business capital. Maratha Stores has a chain of around 20 outlets in various catchment areas of Mumbai. In aggregate, the group has close to 75,000 sq ft of retail space, a large part of it in prime commercial markets. The chain operates in the neighbourhood 500 sq ft format as well as the larger 7000 sq ft outlets.
When contacted by ET, a Reliance spokesperson declined to comment. However, sources close to the development said the company has already prepared its blue print. “While the company may use the 500 sqft shops to enter the corner store format, it could use the 7000 sq ft shops to open Reliance Fresh outlets,” a source said.
Talks with Maratha stores seem to be in sync with the company’s plans to have a presence in high street catchment areas. Earlier this year, Reliance Retail took over 18 Sahakar Bhandar stores in Mumbai on a long term lease.
