Aug 13 (Reuters) - Max Hypermarket India Private Ltd, part of the Dubai-based Landmark Group, said it had tied up with Dutch food retailer Spar International BV after its partnership in India with France’s Groupe Auchan SA ended due to diffculties in complying with government foreign investment rules.
Max Hypermarket and Spar will partner to operate about 30 stores across India and expect retail sales exceeding 300 million euros ($400.95 million) by 2019, the companies said.
Currently, Max and Auchan have 13 stores that will be rebranded as Spar Hypermarkets, along with 20 new ones opening over five years, the companies said.
Max Hypermarket and Spar were partners before, but decided to part ways in 2012. (reut.rs/1vGZXLU)
Max said on Tuesday that it and Groupe Auchan could not comply with Indian foreign direct investment regulations for supermarkets and hypermarkets that required some existing stores to be excluded from the joint venture.
1 US dollar = 0.7482 euro Reporting by Nivedita Bhattacharjee in Mumbai; Editing by Biju Dwarakanath