Digital Shoppy, a leading consumer durable retailing chain in Hyderabad, today announced that the Company has concluded a private equity placement of Rs. 17.50 crores with Leverage India Fund managed by IL&FS Investment Managers Limited (IIML), one of India's largest private equity firms. This is first Private Equity transaction in the Consumer Electronics Retailing space in India.

Digital Shoppy operates a chain of 21 retail outlets in Andhra Pradesh and Karnataka. The outlets offer a wide range of consumer electronics and home appliances with a typical show room space between 2000 sq ft to 10,000 sq ft. Digital Shoppy will utilize the Private Equity infusion to strengthen its presence by expanding to 120 outlets, as a part of its ambition to become a national player.

“The support we have received from IIML will help us open more outlets and become a leading player in Consumer Durable Retailing” said Mr. Mahesh Raju, Chairman & Managing Director, Digital Shoppy. “Working with investors who understand our business and are committed to the growth of our company are the reasons for our association with IIML”.

“We believe that the consumer durable retailing in India is at an inflection point and is expected to grow driven by rising income levels resulting in a consumption boom, shorter replacement span resulting in significant repeat buying and easy availability of consumer credit. Consumers are exhibiting a preference for a one-stop shop enabling them to shop for consumer electronics and durables under one roof.  Digital Shoppy is well positioned to ride on this growth. “ said Shahzaad Dalal, Vice Chairman and Managing Director, IL&FS Investment Managers.

IIML is one of India's largest domestic private equity fund management companies, managing over US$ 900 mn on behalf of leading Indian and International institutions. IIML presently manages an array of funds focused on investments across Infrastructure, Retail, Life Sciences, Engineering, Information Technology and Real Estate.IIML is a publicly traded investment management company with its shareholding divided amongst its Indian and International shareholders. 

Sourced From: Hanmer & Partners Communications Pvt. Ltd