Subhiksha Retail has delayed the launch of its consumer durables and white goods stores at least for the next 6 months. Slowdown in Retail and Real Estate is cited to be the main reason. Isn’t this the best opportunity to strike deals as Retail Rentals have fallen ?
Subhiksha which received $50 mn funding from Azim Premji PE Fund planned to setup around 150 consumer durables outlet with an investment of Rs 600 crore. They earlier planned to launch the stores by Feb-2009 but now they have postponed until June-2009. The number of stores and the quantum of SKUs in each of them under the revised plan is kept under hood.
Subhiksha is also planning to invest another Rs 1,000 crore for expansion of its retail business including super market over the next 12-18 months.