Tuesday, March 13, 2007
Plans Chain Of Over 350 Stores On The Health & Beauty Format
Targets Revenues Of Rs 1,700 Cr In 5 years
Business To Operate As Subsidiary Of Dabur India
Announces Interim Dividend Of 75%
New Delhi, March 13, 2007: Dabur India Limited, a leading FMCG company in India with a consolidated turnover exceeding Rs. 2000 crores, today announced plans to enter the high-growth organized retail market in India. The Board of Directors of Dabur India today approved its entry into the organized retail market in India through a wholly-owned subsidiary, H&B Stores Limited (under incorporation).
The Board of Directors of Dabur India Ltd also announced an interim dividend of 75% for 2006-07, on the enhanced capital (post-Bonus issue). With this, Dabur India has announced a total dividend of 213% for the 2006-07 fiscal on pre-Bonus capital.
Dabur India will invest Rs 140 crores by 2010 to establish its presence in the retail market in India with a chain of stores on the Health & Beauty format. As part of its plans to provide a world-class retailing experience to consumers across India, The Company plans to establish stores ranging from 1,500 sq ft to 6,000 sq ft in size, offering international quality store environment and product range.
Three senior professionals and experts from the global retail industry have been roped in to drive Dabur India's retail foray. These expatriates have retail experience of more than 25 years each, encompassing merchandising, store design and sourcing.
Mr. V C Burman, Chairman, Dabur India Ltd, said, "Retail is the next big focus area for Dabur India. H&B Stores Limited plans to set up 350 retail stores across India in 5 years and expand it to over 1,000 stores by its 10th year of operation."
Dabur India's Health & Beauty Stores would roll out in Metro and Tier-1 cities in 2007-08. "The Company recognized a clear need gap that exists in Health & Beauty retail space in India, thereby enabling Dabur to have early mover advantage. The retail venture would be run under a separate brand name, which will be decided in due course. H&B Stores expects to start generating profits by the 4th year of operations with revenue exceeding Rs 1,000 crores," said Mr. Sunil Duggal, Chief Executive Officer, Dabur India Ltd.
"Organized retail, which currently accounts for only 3% of the total retail market in India, has tremendous growth potential in the fast expanding Indian economy. Dabur India, with its in-depth understanding of the Indian consumer and capability to deliver a great experience at affordable prices, is uniquely placed to enter the Indian retail sector. We will bring great value to consumers by offering quality products at affordable prices," said Dabur India Ltd, Group Director-Corporate Affairs, Mr. P D Narang.
This venture is also synergistic with Dabur's current portfolio of Ayurvedic & Herbal products and would add significantly to the company's distribution footprint.
About Dabur India
Dabur India Limited is one of India's leading FMCG Company with a consolidated turnover exceeding Rs 2,000 crores. Building on a legacy of quality and experience for over 120 years, Dabur today is India's most trusted name and the world's largest Ayurvedic and Natural Health Care Company.
The largest Indian Personal Care and Health Care Company, Dabur India is also a world leader in Ayurveda with a portfolio of over 250 Herbal/Ayurvedic products. Dabur India's FMCG portfolio today includes five flagship brands with distinct brand identities -- Dabur as the master brand for natural healthcare products, Vatika for premium personal care, Hajmola for digestives, Real for fruit-based drinks and Anmol for affordable personal care products.
For Details :
Corporate Communications Dabur India Limited PH:- 95120-3982000, 3001000 extn 2101/2547 Fax: 95120-4374935 Email:firstname.lastname@example.org