Kolkata, Oct 29 (PTI) Footwear major Khadim India Ltdis looking at premiumisation of its sub-brands, which hassurpassed the parent brand in terms of revenue, to boostgrowth and margins.
The nine sub-brands of Khadim, including BritishWalkers, Lazard, Cleo, Sharon and Softouch clocked sales of Rs256 crore out of the Rs 456-crore retail revenue as of March31, 2017.
"We are undergoing premiumisation with our sub-brandsfor consumers aspiring to move up from mass segment toaffordable fashion. However, we will restrict our sub-brandsto the tier-II cities," Khadim India CFO Ishani Ray told PTI.
The Khadim brand alone will cater to the tier-IIIcities, with most products priced below Rs 500, she said.
Products of the city-based company's sub-brands willbe capped at Rs 3,500.
Khadim has 150 stores in metros and mini-metros,109 in tier-I cities, 124 in tier-II and 446 in tier-IIItowns.
According to CMD Siddhartha Roy Burman, the footwearmaker will continue focusing on retail, distribution andmanufacturing through the asset-light model.
Khadim will will issue its maiden Rs 543-crore IPOon November 2, primarily to allow exit by PE investorFairwinds, which currently holds 34 per cent stake in thecompany after investing Rs 90 crore in 2013.
The IPO in the price band of Rs 745-750 a share ofRs 10 each is valued at Price Earning (PE) multiple of 43.7times of FY17 earnings. PTI BSMRBT.
This is unedited, unformatted feed from the Press Trust of India wire.
