The Essar Group has acquired X-Cite, the chain of large format electronics stores of Impact Retail, a franchisee of Kuwait's Alghanim Industries. Essar announced the acquisition yesterday at a press conference.
The acquisition will help the company enhance its business portfolio in the estimated Rs 80,000 crore strong consumer durables and IT (CDIT)
Impact Retail runs seven retail stores selling CDIT products under the X-Cite brand.
Essar has also promoted the cellular retail chain The MobileStore (TMS) and TMS will take over the seven stores of Impact Retail's X-Cite across Delhi, Gurgaon, Bangalore, Hyderabad, Pune and Ahmedabad, spanning over 95,000 sq ft.
The number of TMS retail outlets will increase to 2,500 by fiscal 2011 from the existing 1,300 stores.
"We find it logical to extend our presence in the consumer durables and IT market, which is growing by 15 per cent. The acquisition is a good start. We are aiming around 10 per cent of market share in the next five years," TMS CEO and director Rajiv Agarwal said at the press