Megamart plans Rs 80 cr capex for FY-09

Mumbai, Jun 23 (UNI) Megamart, a branded apparel retail network run by Arvind Mills Ltd, has planned a capital expenditure (Capex) of Rs 80 crore for setting up new stores and has set a revenue target of Rs 320 crore for FY-09, according to a top official of the company.

The company's second super store, spread over 55,000 sq ft, will open in Chennai next week, followed by one in Pune by the end of July and one in Bangalore by the end of August, Megamart&Retail Chief Operating Officer K E Venkatachalapathy told UNI over a tele-conversation from Bangalore.

Mr Venkat said ''Initially, the idea is to expand in south-western region of the country and later we will increase our accessibility in the Tire-II and Tire-III cities with its 3,000-4,000 sq ft small format stores in the northern and western region of the country.'' The company is also exploring for franchise arrangement to strengthen its network in small cities and towns across the country through its small format, he said.

Arvind Mills currently runs 90 Megamarts under small format and plans to set up 30 more by the end of the current fiscal. In total, it would raise the number of stores upto 125, which would also include five super stores, Mr Venkat added.

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