Walmart denies links with Bharti Retail

Walmart has claimed it has no links with Bharti Retail

apart from backend technological support. Walmart, the world’s largest retail chain, has referred to the Bharti Retail outlets as “franchised” in its annual report for the financial year ended January 31, 2013, filed with the US markets regulator, the Securities and Exchange Commission.

While elaborating on its international business, including the cash-and-carry or wholesale stores in a joint venture (JV) with the Bharti Group, Walmart has pointed out that the list does not include franchised retail stores. It says that in India the business is operated as cash-and-carry and that retail units in India are franchised and are owned and operated by Bharti Retail. Walmart and its cash-and-carry partner Bharti have always distanced themselves when it comes to the retail business.

After FDI was allowed last year, Bharti called Walmart its natural partner and said the cash-and-carry JV was likely to be extended to retail. However, Walmart has taken no action in starting stores in India even six months after foreign investment was allowed. Of its 20 cash-and-carry outlets in India till December 2012, only two are owned and operated by the company, while the rest are leased and operated.