Future Retail to pump in Rs 300-500 cr for rapid retail expansion

Kishore Biyani’s Future Retail aims to invest Rs 300-500 crores for capital expenditure this year raised through a mix of equity, debt and internal accruals. After posting a standalone net profit of Rs 74 crores and 12 percent growth in total income at Rs 10,368 crores in 2014-15, the Future Group with formats like Big Bazaar, e-Zone and HomeTown under its fold, is looking at emerging strong against competition.

The Group plans to open 250 Big Bazaar stores in the next 12-18 months. This year, the company will add 50 hypermarkets, which comprises 35 Big Bazaar stores and 15 stores of Bharti Retail, which will be converted into Big Bazaar.

Future Retail recently merged its operations with Bharti Retail under Bharti Enterprises stable that runs 'Easyday' supermarkets and convenience stores. The deal is expected to lead to the creation of India’s largest retail chain having 570 stores in 243 cities.

As competition grows among ecommerce majors, physical retailers as well as among online and offline retailers, this step would give a much needed fillip to Future Retail against its competitors.