Leading textile manufacturer and retailer Arvind Mills has chalked out an investment budget of Rs 400 crore to open eight Megamart Outlet Centres large format value-stores and increase the number of small stores called Megamart stores by 50 over the next two years.
Arvind Mills is targeting revenues of Rs 2,000 crore by 2012, through its retail chains Megamart Outlet Centre and Megamart stores.
The company opened its first Megamart Outlet Centre, spread over 40,000 sqft, in Chennai today.
The outlet will feature about 130 brands ranging from mens, womens and kidswear, accessories, luggage, footwear and kitchenware, Sanjay Lalbhai, managing director, Arvind Mills told reporters.
Arvind Mills plans to open three more Megamart Outlet Centres in Pune, Hyderabad and Bangalore before May and five more large Outlet Centres, including one at Old Mahabalipuram Road, Chennai's IT corridor, by the end of March 2009 at an investment of Rs 400 crore.
The company expects to open 30 Megamart Outlet Centres in top 20 cities across the country by 2012.
It will also expand the number of small stores from 75, spread over 25 cities, to 125 by March 2009 and 200 by 2012, with a presence in 75-80 locations across tier-II and tier-III cities.
This will come on back of the huge growth potential offered by these cities, said J Suresh, CEO (brands and retail), Arvind Brands, a division of Arvind Mills.
The Megmart Outlet Centre concept operates with the objective of grouping large numbers of stores at the same location. Over 130 brands will be showcased at each outlet, while smaller outlets will showcase between 15 and 20 brands, Suresh said.
