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Trent buys 76% stake in Landmark
BY A CORRESPONDENT
31 August, 2005: Tata group company Trent Ltd has bought 76% stake in landmark, a Chennai-based books and music retail chain for Rs 103.6 crore. Trent owns the retail chain Westside and Star India Bazaar.
Trent has bought out 75% stake from Nataraj Ramaiah and 1% from Hemu Ramaiah. Hemu Ramaih will continue as CEO of the company. Hemu will continue to retain 24% stake n the company.
Landmark is also expected to go for an initial public offering within two years to expand its operations.
Currently, Landmark has stores in Chennai and Bangalore besides a store in Kolkata jointly run with Emami. Landmark started operations in 1987 with a single store, and now has three outlets in Chennai and one in Bangalore. The company posted a turnover of Rs 95 crore in FY05. Landmark hopes to raise this figure to Rs 130 crore next fiscal. Trent's Westside has a national presence with 18 stores across India.
The stake sale was finalised on August 29 2005, but the deal was signed and announced only on August 30, 2005.
The Landmark shops sell good ranging from books, music, videos, gifts and toys. Westside has almost the same portfolio, which brings about a lot of synergies in the acquisition.
Sad Noel Tata, managing director of Trent: We are happy to be partnering in the growth strategy of Landmark. Landmark has one of the finest retail concepts in India and we see significant synergies in this partnership.
BY A CORRESPONDENT
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