Chennai's Subhiksha to pump in Rs 300 cr

New Delhi, July 13 (UNI) Chennai-based discount supermarket and pharmacy retail chain Subhiksha today said it will pump in Rs 300 crore to set up 600 company-owned stores in five states, besides foraying into a new business vertical for telecom products by March next year.

Subhiksha's operations in the national capital and NCR will kick off next month with 145 stores, one each for 10,000 households, with a planned investment of Rs 100 crore.

''With the Delhi launch in August 2006, we will come in the telecom vertical, adding to our product range of groceries, fruits, vegetables and pharma, in the North,'' Subhiksha Trading Services MD R Subramaniam told reporters here.

The Company's offerings will include a wide range of branded mobile phones, recharge and after sale services. There will be trained staff at all Subhiksha stores.

Telecom today has become a neccessity and with the Indian retail industry seeing a huge upswing, we expect to earn a turnover of Rs 2,000 crore from our 600 stores across the country, Mr Subramaniam said.

On being asked about the discount on handsets, company's Senior President Atul Joshi said, ''It would depend on the handset itself.

As we know that the prices keep on changing every week. We will offer all brands from Nokia, Samsung to Motorola.'' Delhi's launch will be followed by Maharashtra and Gujarat in the West and Andhra Pradesh and Karnataka in the South.

Out of the total investment, Rs 50 crore will be funded by private equity firm ICICI Venture, which had financed Subhiksha twice in 2000 and 2004-05.

Subhiksha's turnover stood at Rs 340 crore in the last fiscal from its present 141 stores operating in 31 cities in Tamil Nadu.

UNI PV CS KN1530