Mahajan Overseas plans Rs 5 cr expansion

Mahajan Overseas Ltd, a Delhi-based soft furnishings company, plans to expand its presence in the retail space with an investment of Rs 5 crore by the end of this fiscal.

The company, which sells its products under the chain 'Maspar', is looking to take the number of its 'Maspar' stores to 10 by the end of the next quarter. At present, the company has five stores in Bangalore, Ludhiana and the national capital region.

Mahajan Overseas, which exports furnishings to international chains like Marks & Spencer, Ikea and Laura Ashley, will open three stores next month in Mumbai, Delhi and Ambala respectively, and two more in Delhi and Pune in the coming months. The company opened its second Maspar store in Bangalore on Tuesday which is its fifth store.

Mahajan Overseas, which launched Maspar three years ago, is also in alliance talks with Reliance Retail and multi-brand outlet Lifestyle. But, it declined to give details. It also plans to take its stores overseas after expanding in India.

"We are opening stores in Bangalore and Gurgaon as these cities have a younger population which understands our designs better," Mahajan Overseas' managing director Rajesh Mahajan said.

The company expects to garner sales of Rs 60 crore in FY 2006-07. Last fiscal, the turnover was Rs 40 crore of which 80 per cent was from exports.