Biyani was looking for a knight in shining armour, went pillar to post for selling his beleaguered businesses. He held marathon meetings with potential suitors who could bail him out.
India’s original retail king survived several close calls in business in the past. But this time, he may finally lose the Future group, which he has built up over two decades
Future Retail Ltd missed paying $14 million (approx Rs 105 crore) interest due on its offshore bonds worth $500 million due in 2025.
Future Consumer operates brands such as Karmiq, Tasty Treat and Golden Harvest among over 25 other brands.
Recently, the Future Group had announced plans to exit its insurance joint ventures. These moves are part of the group's efforts to sell non-core assets to repay loans to banks and redeem shares pledged with other lenders.
Mumbai-headquartered Future, India’s largest retail firm, holds a 50 percent stake in Future Generali India Insurance, which commenced operations in 2007.
“Future Group has requested Fixed Income schemes managed by Franklin Templeton Mutual Fund , relief under the moratorium benefit announced by the RBI," the mutual fund said.
V-Mart, which operates mainly in tier-II and -III cities, said it has not faced supply issues but has put in place restrictions on how much can a consumer buy.
Stocks of Future Group's listed entities plunged over the past month, due to fears over the outbreak's economic impact.
Future Group founder Kishore Biyani had launched the company’s ecommerce strategy Retail 3.0 in November 2017.
This would be the first time when Amazon would host Future Group's sale. Earlier last year, Amazon had announced acquiring 49 percent stake in Future Coupons, which owns 7.3 percent shares of Future Retail, with an option to buy the entire holding at a later stage.
According to Rakesh Biyani, 2019 can be termed as an interim blip for Future Retail.
Mitsui is reportedly looking to invest either in Biyani’s Galaxy Cloud Kitchen or a separate venture
Talking about the fashion segment, Biyani said: "Last year also fashion was good for us. So we are finding a huge base of growth of 18-20 percent, but I believe fashion would have grown in double-digits for us."
Kerala Startup Mission (KSUM) has selected retail and fashion sector conglomerate Future Group as their market access partner
The company recently announced Amazon picking up a full 49 percent stake in Future Coupons, the promoter entity of Future Retail, with an option to acquire the entire stake later.
This will be HUL’s fifth fabric wash brand, among its other detergents like Rin, Surf Excel and Sunlight which are all household names in India.
The company has launched toned milk, milkshakes and curd and will be launching a new product every quarter.
8-10 percent of sales of Future Consumer comes from dairy products.
The investment banking arm of the Kotak group is advising Pepe's parent company on this deal and has received 11 bids for it yet
Biyani also admitted that the retail major missed the opportunity in the online space.
Indian consumers are not accustomed to round the clock shopping, except in a few locations. Many states don’t allow it either. Since this forms the cornerstone of 7-Eleven’s business model, is it making a mistake?
While both the companies have not revealed the deal value, sources say Skechers paid close to Rs 600 crore to acquire balance stake in Skechers India.
Kishore Biyani feels Future Consumer could be the engine powering the entire business in coming years
Patanjali can easily play the penetration game by tapping fresh markets, especially in the rural areas, where others would struggle to reach.