Max to In­vest 400 cr to Reach 120 Cities in 4 Yrs

The Economic Times - - Brands: Creating Desire - Press Trust of In­dia

New Delhi: Fashion brand Max, part of Dubai-based $9 bil­lion Land­mark Group, is look­ing to dou­ble its turnover to ₹ 5,000 crore in the next four years by ex­pand­ing its sales net­work to 400 stores in 120 cities. Max Fashion will in­vest around ₹ 400 crore over the next four years to open new stores in tier I and II cities. It is also plan­ning to ex­pand its value ap­parel re­tail for­mat ‘Easy­buy’ and aim­ing to have a net­work of 180 stores by then cater­ing tier III and tier IV towns.

“By FY20-21 we would be ₹ 5,000 crore com­pany. This year we would close at around ₹ 2,400 crore. Last fis­cal, we were at ₹ 1,800 crore,” Max Fashion In­dia Ex­ec­u­tive Di­rec­tor Vas­anth Ku­mar said. He fur­ther added: “In the next four years, we would op­er­ate 400 stores in 120 cities.”

Launched in 2004, Max Fashion is presently op­er­at­ing a chain of 190 stores in 75 cities.

“Ev­ery year, we would in­vest around ₹ 100 crore for ex­pan­sion. We in­vest around ₹ 5 crore to open one store, of which ₹ 2.5 crore is on capex and the rest is work­ing cap­i­tal,” said Ku­mar. Max has added 40 new stores so far in the cur­rent fis­cal and has plans to open 40 more next fis­cal.

“We are grow­ing 35 per cent per year and we would main­tain this growth for the next 2-3 years,” he said.

Be­sides, the Land­mark group is also ex­pand­ing its value ap­parel re­tail for­mat ‘Easy­buy’ and aim­ing to have a net­work of 180 stores by FY20-21. “This is to cater tier III cities and be­low and it is op­er­at­ing at a price which is 40 per cent cheaper than Max. It is grow­ing 20 to 30 stores per year now,” Ku­mar said.

Max has added 40 new stores so far in the cur­rent fis­cal and has plans to open an­other 40 stores in the next fis­cal

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