April 29, 2012

Monte Carlo forays into overseas market

Kolkata: Punjab-based Nahar group's company Monte Carlo Fashions has ventured into the overseas market in an attempt to increase global visibility.

"This year (2012-13) we have decided to sell Monte Carlo branded products in global markets in Africa, Middle East, Australia, New Zealand," Monte Carlo Fashions Ltd President (Retail) Swapan Dutta told PTI.

"We will open a flagship store in Dubai and in the rest of the Middle East gradually. We have decided to use shop-in-shop model in several south of African countries like Cameroon and Nigeria. We have also tied up with stores in Australia and New Zealand," he said.

The company is planning to raise Rs 330-380 crore through a mix of private equity and Initial Public Offer (IPO).

"Monte Carlo was valued at Rs 850 crore when it was hived off from the parent. We are planning to raise funds by way of PE and IPO, but details are not yet finalised," Dutta said.

The company, carved out from Oswal Woolen Mills last year to unlock value through private placement and IPO, had said in November it proposed to dilute up to 25-30 per cent stake through private equity and public issue for raising Rs 330-380 crore from PE funds and IPO.

The company which was known primarily for its winter wear garments was now planning to focus aggressively on the non-winter category and lifestyle garments.

"Winter wear accounts for almost 75 per cent of the company's total sales and in future we hope both will contribute equally," Dutta said.

He added the turnover in 2001-12 stood at Rs 400 crore and in the current fiscal it was likely expand to Rs 550 crore.