KOLKATA: The Chennai-based retail outfit Landmark has sold to the joint venture partner its 50 per cent stake in the Emami Landmark Store Private Ltd. that it had in Kolkata for nearly seven years. This follows the acquisition of a stake in Landmark by Trent last year.

Confirming the deal, Gautam Jatia, CEO, said the decision was taken since the fate of the joint venture became uncertain after Trent's acquisition. The deal took place in the last week of December and now the Rs. 1,000 crore Emami group will use this store to forge into the national retail scene. Mohan Goenka of Emami told The Hindu that an investment of around Rs. 50 crore was planned in the rollout of ten stores by mid-2008 within the eastern region. The total area would be about 80,000 sq. ft. Funding for the rollout would be done internally by the cash-rich group.

This would be followed by a national roll-out in Delhi, Hyderabad, Chennai, Bangalore and Mumbai, but Mr. Goenka was categorical in saying that the retail business would be confined to books, music, toys, stationery and gift for now. "These are our niche areas", said Mr. Jatia. Emami Landmark now has a 20,000 sq. ft. presence in a very upmarket locality in south-central Kolkata. It plans a second store in Salt Lake within this month.

Plans are afoot not only to expand the single-store presence but also to set up shops in State capitals in this region and also in tier-two cities. The name of the company would be changed to Emami Retail Pvt. Ltd., subject to statutory approvals, while the brand that would replace the Landmark brand was `Starmark'. This, Mr. Jatia felt would ensure recall and continuity.

He said the company had decided to stay away from other retail segments which were already crowded and also ruled out entry into the low-margin food business.

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