Date:26/10/2007 URL: http://www.thehindubusinessline.com/2007/10/26/stories/2007102651071200.htm

Back Donear defers retail launch to December

Our Bureau

Mumbai, Oct. 25

Textile company Donear Industries Ltd, which was to launch its retail outlets in October, will now do it in December, said Mr Rajendra Agarwal, Managing Director, at the launch of their new Black and Blues collection of fabrics.

The retail outlets will be of 600-1,000 sq ft format in the franchisee mode, he said. "Our plans have not been scrapped. It's just that we want to announce one thing at a time," he said.

Mr Ajay Agarwal, Executive Director, added that they will target the age group of 16-35 years through these outlets.

Greenfield facility

The company plans to invest Rs 350 crore, of which Rs 250 crore is for its greenfield facility at Surat and the rest in its retail expansion.

The company will fund its expansions through bank loans, FCCBs and the GRB route, Mr Agarwal said.

Fading block

The new collection launched by its brand ambassador, cricketer Yuvraj Singh, will have Fabric Integrated Technology which prevents the colour black from fading. "With this new collection, we want to own the colour positioning of black and blue," said Mr Agarwal.

Yuvraj Singh added, "Black and blue are the colours worn at all occasions and preferred by men of all ages. It looks good on me, it looks good on everyone," he said.

Network

The Rs 180-crore company has a market capitalisation of Rs 1,000 crore. It networks through 44 agents, 290 wholesalers and 12,000 retailers across 29 States in India.