The Hindu Business Line : S Kumars demerges retail biz

Mumbai, Dec. 29 S Kumars Nationwide Ltd (SKNL) has demerged its retail business into Brandhouse Retails Ltd (BHRL), to unlock the value proposition for the investors and focus on the expansion of its retail arm, said Mr Jagdish Shetty, President, Finance.

“Brandhouse Retails will be listed in a couple of month’s time or earlier, on completion of the court procedure. The equity shareholders of SKNL will get one equity share in BHRL for every five shares held in SKNL free of cost,” Mr Shetty said.

While Brandhouse Retails will have a specialised team headed by Mr Tarun Joshi, S Kumars will concentrate on manufacturing, branding and distribution of the products, he added.

The demerged company will retail international brands such as Dunhill, Stephens Brothers and Escada, in addition to S Kumars brands – Reid & Taylor, Belmonte and Carmichael House.

Brandhouse Retails, which currently operates 200 exclusive brand outlets, proposes to set up 1,200 stores within the next two years.

The March 2007 turnover of S Kumars was Rs 1,229 crore of which Rs 60 crore was contributed by the retail business.

S Kumars’ shares were last trading on the BSE on Friday at Rs 160.15 up 2.89 per cent from the previous day’s close of Rs 155.65.

More Stories on : Restructuring | Retailing | Textiles

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Brigade signs contract with IHG

Infosys Q3 results on Jan 11

Manappuram’s pref share issue

National Aviation board approves $469 m funding

S Kumars demerges retail biz

Panax may invest Rs 21 cr in geothermal projects

Open to jt ventures in transmission: PowerGrid

German modular kitchen firm setting up franchise in Coimbatore

Career Launcher setting up new B-school

Sintex investing Rs 150 cr for expanding business

Autopartsasia to offer product design, simulation services