Published
Jan 3, 2018
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Future Group plans to acquire Vulcan Express

Published
Jan 3, 2018

India’s largest retail firm Future Group is in talks to acquire Snapdeal owned logistics unit Vulcan Express to strengthen its delivery network across India in an all cash deal estimated to be around Rs 50 crore (approx $8 million).
 

Future Group eyes acquisition of Snapdeal’s Vulcan Express - Vulcan Express


The Kishore Biyani owned firm Future Group has already embarked on a digital journey with the launch of its digital model Retail 3.0 under which it plans to open 10,000 Easyday stores by 2022 and expects to hit the $1 trillion (Rs 64 lakh crore) mark in the next 30 years.
 
Future Group is now looking to further strengthen its delivery network and boost its digital model with the acquisition of Vulcan Express which has a strong base in more than 100 cities across India offering logistics and supply chain solutions for retail and consumer companies

“It will be a distress sale and the final valuation could be less than Rs 50 crore (approx $8 million). The contours of the deal, including the size and through which company it will be done are still being worked out,” the Economic Times reported citing anonymous sources.
 
Snapdeal and Future Group didn’t respond to email queries sent to them.
 
“The deal will also benefit Snapdeal for its 2.0 strategy of creating an asset-light model and focussing on the ecommerce business. Vulcan will continue to be one of the logistics partners for Snapdeal even under the new owner,” said another source told ET.
 
Future Group is the parent of four listed retail entities Future Retail Ltd, Future Lifestyle Fashion Ltd and Future Consumer Ltd and Future Enterprises Ltd with total revenue of $4.4 billion. It operates the Big Bazaar, Food Bazaar, Easyday stores along with fashion stores like Brand Factory and Central.

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