Flemingo to raise funds through PE investors

One of the country’s largest duty-free shopping chains,

Flemingo Duty Free Shop is looking at raising funds to the tune of about Rs 175 crores through private equity (PE) investors. It has assigned Mumbai-based investment bank Avendus Capital the job of finalizing the deal. Flemingo is a part of Dubai-based Flemingo International Inc, a global company operating duty free shops in Asia and Africa. In India, it operates at 12 airports, eight sea ports as well as at the Wagah border between India and Pakistan, offering products such as liquor and spirits, tobacco, confectionery, jewellery and electronics.

A recent report by Icra states that Flemingo International holds a 60 per cent stake in Flemingo Duty Free, with the remaining held by directors Atul Ahuja and Viren Ahuja. For the year 2009-10, the firm had net sales of Rs 138.6 crores and net profit of Rs 7.8 crores. For fiscal year 2012, it expects to register net sales of around Rs 260 crores from India. Flemingo. In Mumbai, operates as a joint venture with DFS Group LP.