TTK Prestige eyeing first overseas acquisition

By penetrating deep into tier 3 and 4 cities, company is looking at opening 1,000 stores in next 3 years

TTK Prestige, part of the Rs 2,500 crore TTK Group, is eyeing its first overseas acquisition in Europe as part of its strategy to take the brand into international market, according to a top company official.

The company was looking to acquire only a "cookware" brand in Europe and currently the cookware industry there was valued at Euro 2 billion,  TTK Prestige Chairman T T Jagannathan told reporters here today.

"We are looking (for acquisition).. The size of the deal will be around Rs 400 crore. Reason why we are looking is brands sold there are cheap and second European cookware brands are accepted worldwide...," he said.

Talking about the company's future plans, after formally inaugurating its 500th store here, he said, the company would penetrate deep into Tier three and four cities in the domestic market by expanding its stores.

"By penetrating deep into tier three and four cities, we are looking at opening 1,000 stores in next three years", he said.

 According to TTK Prestige Managing Director, S Ravichandran, the company which reported Rs 100 crore turnover in 2001 grew to Rs 1,300 crore in 2012-13.

Asked whether the company would utilise the volatility of rupee against US dollar for its exports, he said the company's focus on the overseas market was only five per cent.

"Largely our exports are unbranded. That means, we sell the product with out any brand and the company brands' them and sell it," later he explained.

Recently, the company roped in leading Bollywood couple Abhishek Bachchan and Aiswarya Rai Bachchan as its brand ambassadors.

Asked about it, Ravichandran later told PTI: "We want to have brand ambassador who has national presence. Even in places like North East, North West, the people should be able to know our brand ambassador. That is why we roped them".

On the company's Rajasthan plant, he said the company would commence production on December 1.

 "Investment is about Rs 250 crore. From December one, it will begin production.  Initially it will produce non-stick cookwares and cookers," he said.

Currently, TTK Prestige Ltd has 500 prestige smart kitchen outlets in 260 towns. 75 per cent of the company's turnover was contributed by the Southern region, he said.