Financial Daily from THE HINDU group of publications
Tuesday, Dec 27, 2005


Group Sites

Marketing - Strategy
Corporate - Announcements

Liberty Shoes chalks out expansion plans

Dharini Nagarajan

The company also plans to have a direct presence in the overseas markets.

New Delhi , Dec. 26

FOOTWEAR major, Liberty Shoes Ltd has charted out expansion plans for its business. It would be investing Rs 50 to Rs 100 crore in the next 12 to 15 months in a phased manner for the expansion.

It recently informed the Bombay Stock Exchange that it would be setting up a greenfield plant in Himachal Pradesh to avail itself of the tax incentives and to ramp up capacity of footwear, in order to cater to the sub-contracts from Reebok and Nike for the domestic market and Wal-Mart for sale in the US. The company has committed to making 500 pairs of shoes each for the two brands, and is currently in the process of executing the Wal-Mart orders which, it estimates, would add Rs 5 crore to its revenues. The proposed investment will be used to double the production capacity and to beef up its retail network.

The company also plans to have a direct presence in the overseas markets for which it has floated a subsidiary in Dubai named Liberty Foot Fashion UAE. Through the subsidiary, the company intends to open six to eight stores in Singapore, Colombo, Dhaka, and Dubai, amongst others in two to three years' time.

On the retailing front, the company has entered the lifestyle space through the `Revolution' chain of stores. It hopes to add around 30 to 35 new stores over the next two years.

The window of opportunity through the 49:51 joint venture with Pantaloon Retail India Ltd too would be maximised. Liberty would also be adding stores in 30 to 50 locations, which would be rolled out in different retail formats, including value-for-money stores, named `Shoe Factory', that the company plans to launch by March in Ahmedabad, under the joint venture, FootMart India Ltd.

The group also plans to foray into the real estate business and is toying with different formats for the same.

More Stories on : Strategy | Announcements

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Mexican food chain plans to enter India

Sahara One Motion Pictures to supply content to ETV channels
Liberty Shoes chalks out expansion plans
At O&M, training takes cricketing turn
Leo Burnett to handle Centurion Bank account
Sonu Nigam to endorse Dabur cough drops
Hutch's lifetime pre-paid service for Rs 999
Idea Cellular recharge offer in Kerala
Amway set to expand product portfolio
What women want... to laugh about
Brand India is a good draw at airport duty-free shops
FM radio: Media biggies, small fry among bidders
A wine Renaissance by Mumbai co
Nick 24-hr Hindi channel from Jan 1

The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | Business Line | The Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |

Copyright 2005, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line