New Delhi: Max Hypermarket India, a part of Dubai-based Landmark Group, is undertaking a rebranding exercise of its stores and will operate under the Auchan brand following the signing of a franchise agreement with France's Groupe Auchan.
Max Hypermarket India's five-year franchise agreement with international food retail major SPAR group, which comes to an this December, has not been renewed. The company currently operates 13 stores under the 'SPAR' brand.
"This August we have signed a long-term franchise agreement with the Auchan Group. Under this, we will be operating Auchan Hypermarkets for which we will rebrand our exising stores under the SPAR brand," Max Hypermarket India (MHI) Managing Director Viney Singh told PTI.
In the first phase of rebranding, all the five stores in Karnataka will see witness the name change and the rest of the stores in Delhi, Pune, Andhra Pradesh and Tamil Nadu will undergo the same exercise around Diwali, he added.
Commenting on the expansion plans, Singh said: "What we are looking is open new stores at an annual rate of 12-15."
On the investment front, he said MHI has already spent Rs 450 crore on the existing stores. "Going forward, we need to understand the market and we need to decide investment accordingly."
When asked about revenues, Singh said: "Last fiscal the company had a revenue of Rs 500 crore. As far as future is concerned, we are looking at a healthy growth but we also need to keep in mind that we are undergoing rebranding."
PTI
