Spencer's Retail in talks with int'l firms for tie-ups

NEW DELHI (Reuters) - Spencer's Retail, part of the diversified RPG group, is hopeful of entering into "multiple" tie-ups with international firms in various product categories in the next six months, a top official said on Friday.

"It will be in apparel. It could be in cafes. It could be for kids," Sanjeev Goenka, vice chairman of Spencer's parent company CESC Ltd, told reporters after launching a redesigned retail store in a suburb of the Indian capital.

"We are very close to a conclusion," he said, adding the chain would announce the first tie up in three months time. He declined to name any of the potential partners.

Goenka said the tie-ups would bring international brands and is part of a strategy to woo affluent customers to its stores.

"There is nothing in India that exists in this space for that audience. Everything that exists is for the mass market."

STORE EXPANSION

Goenka said he is aiming at taking his stores to 650 in the current fiscal year, up from 400 at the end of March. The new store openings would help the retail chain to post a revenue of 18 billion rupees in 2008/09, up from 10 billion rupees a year ago.

In February, Goenka had forecast a revenue of 30 billion rupees by end of fiscal 2009.