Indian luxury fashion retailer Kimaya Fashions has said that it will soon launch a new label to tap women consumers in smaller towns.
The Mumbai-based firm said that it plans to open 30 stores in the next three years for its new label, primarily in non-metro cities. It has also signed licensing deals with 12 prominent Indian designers for the purpose.
“We are preparing to launch a new label for women’s Indian wear by December this year or early next year in the premium segment,” Kimaya Fashions Chairman, Mr Pradeep Hirani, told PTI on the sidelines of a CII event here today.
Kimaya Fashions, which currently has metro-centric clientele for its designer wear range, is targeting women in small cities with the new label.
“Women in metros have a lot of choice, but it is not case for those who are in non-metros. So the new label will clearly focus on catering to discerning women consumers in smaller cities,” he added.
Asked about financing, Mr Hirani said it would be funded through the capital raised by selling a 20 per cent stake in the company to private equity firm Franklin Templeton. The firm is reported to have raised Rs 60 crore earlier this year through the deal.
While declining to share the exact figure, Mr Hirani said KPMG has been hired as a consultant for the new initiative.
Asked if the company is looking to raise more funds, he said: “Not in the next two years’ time, but we have promised our investors that we will provide them an exit in three years, for which we will have to go for an IPO.”
The Chairman said besides the new labels, the company also plans to open ten new Kimaya brand stores within the next three years, in addition to its 16 existing stores.