Pantaloon Retail, India’s largest retailer, is in talks with “multiple investors” over plans to raise up to INR40bn (US$84m) in the next two years to fund expansion.
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The company told just-food today (11 June) that it is looking at raising funds through “multiple routes”, including private placement and qualified institutional placement.
“The overall plan is to raise INR30-40bn in the next 18-24 months,” a Pantaloon spokesman said. “We are in discussions with multiple investors [but] it would be inappropriate to mention their names or the stake [in the business] which may be picked up.”
Reports in India have claimed that private equity groups TPG, Bain Capital and Apax Partners are in talks with Pantaloon, while there has been speculation of discussions with French retail giant Carrefour.
The Pantaloon spokesman said the retailer wanted to use to the funds to help grow the business from close to 13m sq feet of space to 30m sq feet by 2013-14.
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By GlobalDataThe retailer’s expansion plans in the next year will focus on its Big Bazaar hypermarket business and its Food Bazaar supermarket chain, the spokesman said.
“We plan to open between 45 and 50 Big Bazaars in the next 12 months,” the spokesman said. “Our Food Bazaars are always an integral part of Big Bazaar, so the food retailing business will also see growth.”
