Companies & Sectors
Future Group's retail business to merge with Bharti Retail
Kishore Biyani-promoted Future Retail Ltd.'s board has approved the consolidation and realignment of its retail operations with Bharti Retail Ltd., a statement by the company said here on Monday.
 
"The board of directors of Future Retail Limited, the flagship company of Future Group, and the board of directors of Bharti Retail Limited at their respective meetings held today (Monday) have approved a partnership between the companies," the statement by Future retail said.
 
"To streamline the operations resulting from this consolidation, the board of directors of Future Retail and Bharti Retail have proposed a demerger of the retail business of Future Retail to Bharti Retail and a demerger of the infrastructure business of Bharti Retail to Future Retail," it added.
 
The first entity, to be known as Future Retail Limited (proposed) post the completion of the demerger, will host the retail operations of both the entities.
 
The second entity, to be known as Future Enterprises Limited (proposed) post the completion of the demerger, will host the infrastructure, investments and assets of both the companies, the statement said.
 
After the consolidation, the shareholders of Bharti Retail and Future Retail would be shareholders in each of the entities.
 
The combined entity will have over 570 retail stores in 243 cities with operational retail space of over 18.5 million square feet.
 
Future Group operates over 17 million square feet of retail space in different formats and categories across 166 Indian cities. 
 
Bharti Retail currently operates a network of over 200 Easyday stores in multiple formats across 114 cities with a strong presence in key markets like Punjab, Haryana, National Capital Region, western Uttar Pradesh, Uttarakhand and Bengaluru.
 
The combined entity will operate 203 Big Bazaar and Easyday hypermarkets, 197 Food Bazaar and Easyday supermarkets, and 171 other stores comprising Home Town, eZone, FBB and Foodhall.
 
"Bharti Retail's strengths and network compliment perfectly with that of Future Retail. It will bring us closer to millions of consumers and provide new opportunities for our supply partners," said Kishore Biyani, founder and group chief executive officer, Future Group. 
 
"The operational efficiencies that can be derived from the merger will create significant value for our shareholders."
 
"The partnership offers compelling synergies in terms of reach, efficiency and experience to build a truly world-class retail network to serve the Indian consumer. Retail is emerging as the next big growth engine for India and we will be well positioned to be a major player in this growth story," Rajan Bharti Mittal, vice chairman, Bharti Enterprises, said.
 
At 3.11 p.m. Future Retail's shares were trading at Rs.128.85 per share, up 11.37 percent, in the Bombay Stock Exchange.

User

'Defence exports have risen in past 6 to 8 months'
The Make in India campaign would have increased India's defence exports over the past six to eight months, Defence Minister Manohar Parrikar said on Monday.
 
Parrikar was speaking to reporters here during a two-day visit to the state.
 
"Actual export figures will come after some time," Parrikar said, when asked if measures taken by his ministry to boost defence-related export had worked.
 
"Many of the items from defence ministry list have been de-listed, export has been opened...During last six-eight months the export NOCs are being granted online. There is no complaint...Earlier NOCs used to take months to be given; now we give them within specified time frame. I have been intimated by the industry itself that they have been getting the export NOC within the time, in fact, faster than they expect," Parrikar said.
 
Parrikar also said that the Make In India policy was the highlight of the defence procurement procedure, under which 49 percent foreign direct investment was permitted in the defence sector and on a case to case basis, the FDI could go up even up to 100 per cent.
 
He also said that currently the global component in defence procurement was a small one, and the majority of the items were made in India.
 
Parrikar also said that de-listing of nearly two-thirds of the items from the defence ministry list had encouraged manufacture and free trade in the sector.
 
"When we deleted some items, they became free-to-export, and freely tradable...So the restrictions of requirement of Defence NOC were automatically withdrawn. Almost two-third items have been removed from the list, so now you have more items which you can freely manufacture and export," Parrikar said.

User

Packaging industry sees e-commerce driving next growth phase
As it completes 50 years on May 14, the Indian Institute of Packaging (IIP), an autonomous body under the commerce and industry ministry, sees the next phase of growth for the $25 billion (Rs.1.5 trillion) industry coming from e-commerce, as more traditional retailers also take to online selling.
 
In the process, the institute, which since its inception has focused on research, education and export promotion, also sees much demand for students pursuing the trade. The institute, accordingly, will see see inauguration of a innovation centre and the ground breaking for a new hostel.
 
Also at the commemorative celebrations will be the unveiling of a new logo crafted by the National Institute of Design.
 
"The institute has come a long way since its inception in 1966. It's a proud moment for us. What started with one centre in Mumbai has now expanded to Delhi, Kolkata, Hyderabad, Chennai and Bangalore. We're in the process of setting up campuses in Guwahati and Vijaywada," said IIP director N.C. Saha.
 
According to the institute, its students were in great demand, particularly with fast-moving consumer goods and pharmaceutical companies that have recognized the positive cost and brand implications of packaging. 
 
Notable among the recruiters are Hindustan Unilever, Mendelez International (Cadbury's), Nestle India, Bayer India, Reckitt Benckiser, PepsiCo, Marico, Lupin Limited and Ranbaxy, "With so many retailers now selling goods online, e-commerce has made packaging more specialized than before."
 
The institute also said the $24.6 billion market, which was growing at is about 13-15 percent had a great potential as India’s per capita consumption of packaging was just 4.3 kg, compared with 6 kg for China and 19 kg for Taiwan.
 
The celebrations will extend to the whole year with special events planned across various centres. The events planned include seminars, exhibitions, conferences and alumni-organised interactions at the Delhi, Kolkata, Hyderabad, Chennai and Mumbai centres.
 
The chief guests for the inaugural function are Maharashtra Governor Vidyasagar Rao, scientist R.A. Mashelkar and Commerce Ministry Additional Secretary Rajani Ranjan Rashmi.

User

We are listening!

Solve the equation and enter in the Captcha field.
  Loading...
Close

To continue


Please
Sign Up or Sign In
with

Email
Close

To continue


Please
Sign Up or Sign In
with

Email

BUY NOW

The Scam
24 Year Of The Scam: The Perennial Bestseller, reads like a Thriller!
Moneylife Magazine
Fiercely independent and pro-consumer information on personal finance
Stockletters in 3 Flavours
Outstanding research that beats mutual funds year after year
MAS: Complete Online Financial Advisory
(Includes Moneylife Magazine and Lion Stockletter)