United Retail to open 'Urban 10' for kidswear

Delhi-based diversified business group United Retail is foraying into the apparel retail segment with plans to invest Rs 50 crore for setting up 80 outlets of its kidswear brand 'Urban 10' across the country in the next five years.

The 35-year-old company, which has an annual turnover of Rs 100 crore from its kidswear export, is aiming for a turnover of Rs 70-80 lakh from each of its retail outlets once the expansion process is over.

"We started our domestic kidswear business in January this year with launch of the Urban 10 brand. We will be setting up the first retail outlet by January 2009 and plan to have 80 such stores by 2012-13 with an investment of Rs 50 crore," United Retail CEO and Managing Director Jeevash Vaid told PTI.

He said that besides the soon-to-be-launched retail business, the company is also in discussion with some of the major retail players, including Lifestyle and Shopper's Stop, for selling its kidswear.

The company would fund its retail venture through internal accruals and debts. All Urban 10 outlets would be exclusively company-owned and have an area of 1,500-2,000 sq ft.

"The Indian kidswear market for children in 1-14 years age group is estimated to be around Rs 12,000 crore and only eight per cent of it is organised. There are very few national players and our aim is to be among the top three by 2011," Vaid said.

About expected revenue figures, Vaid said: "The company is looking for domestic sales of Rs 50 crore through multi-branded outlets, minus our retail outlets from which we are looking at sales volume of Rs 70-80 lakh per store annually."