After Walmart and Amazon’s entry into Indian market, 7-Eleven, Inc., US-based convenience store brand, is all set to foray into the country, with the launch of its first store slated for this year 2019 itself. And the man to bring the popular convenience store chain into the country is retail king Kishore Biyani of Future Retail fame.
One of the US’ 100 most valuable brands, 7-Eleven has signed an agreement with Kishore Biyani’s Future Retail group to launch operations in India, the company said on Thursday in a statement. Future Retail’s subsidiary SHME Food Brands Private Limited has signed a master franchise agreement to develop and operate its stores. This will mark the convenience retailer’s entry into India.
Under the agreement, Future Retail will set up 7-Eleven stores, and will also convert some of its existing operations into the US brand. “7-Eleven’s entry into the country will modernize the small-retail environment and bring greater convenience to shoppers,” the statement said.
7-Eleven will sell beverages, snacks and immediately consumable fresh foods among other products initially, according to the agreement. As of now, the US giant operates, franchises and/or licenses more than 67,000 stores in 17 countries, including 11,800 in North America.
Kishore Biyani, Founder & Group CEO, Future Group, said that 7-Eleven is among the most iconic global brands in the food retail landscape. He added that the venture will offer Indian customers greater convenience and choices, within their own neighbourhood.
Following the announcement. shares of Kishore Biyani-led Future Retail jumped 6% intra-day to Rs 434 on NSE. The scrip closed at Rs 423.65.
Future Retail has also acquired the entire equity share capital of SHME Food Brands Private Limited from its existing shareholders, it said. SHME Food Brands filed a turnover of Rs 2.11 lakh during the FY 2017-18.
Currently, Future Retail operates local retail chains including Big Bazaar, Central, Food Bazaar, Easyday and Brand Factory in India. Fashion and lifestyle brands such as Clarks, Converse, DJ&C and Urban Yoga are also distributed in India by Future Group.