| The AV Birla group has joined the stampede in the organised retailing arena by acquiring the Hyderabad-based supermarket chain Trinethra Super Retail, including its fast-growing online shopping outfit, Fabmall reports Economic Times.
The Trinethra group has annual revenues of about Rs 2,500 million ( US$ 56 million) and has over 172 retail outlets spread across the four states of Andhra Pradesh, Kerala, Karnataka and Tamil Nadua. Its acquisition will give the Rs 40 billion conglomerate a foothold in the fast-growing food and grocery market.
Retail is being touted as one of the fastest-growing sectors in India with many experts predicting that it will have the same potential and impact as wireless telephony. Organised retail comprises less than 3% of India 's retail market. Large corporates are hoping that spending power of the rising middle class and the growing influence of western culture will drive more shoppers into organised retail.
A recent Price Waterhouse Coopers study estimates the size of organised food retailing in India at about $666 million and is expected to grow at about 30% every year. The growth will be largely driven by new large format stores like hypermarkets and supermarkets.
The India Venture Fund-owned Trinethra Super Retail was founded in 1986 and is southern India's fastest-growing grocery retail chain.
Full story at http://www.indiatimes.com
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