News: Shoppers’ Stop goes shopping

(TT 20/03/2007) Mumbai - Shoppers’ Stop Ltd is picking up a stake in HyperCity Retail (India) Pvt Ltd, a group company. It will acquire 19 per cent of the 51 per cent stake it can pick up in HyperCity.

Shoppers’ Stop, while informing the stock exchanges of the move, did not disclose the amount to be paid for the stake. HyperCity, which is largely into the hypermarket format in the organised retail sector, is part of K Raheja Corp of the Chandru L Raheja group. It has a 120,000-sq-ft store at Malad, Mumbai, which stocks groceries, fresh foods, home needs, garments and consumer durables.

The acquisition of this stake has been a matter of speculation since the past few months. Shoppers’ Stop had entered into an option agreement in August 2004 with Inorbit Malls Pvt Ltd, the promoter of HyperCity.