Aran World, the world famous Italian company of modular kitchen, has acquired 49% stake in KitchenWorld, a well-known brand in modular and interior designs segment. KitchenWorld, which has been so far working as the channel partner, is now will be known as Aran KitchenWorld as part of the deal. KitchenWorld had nine stores across India, but with the buyout, the company is looking forward to an aggressive expansion drive. By 2010, the company is planning to set up 50 stores across India. Rajesh Bohra, Chairman Managing Director of Aran KitchenWorld, has informed that the company is expecting more than 15 stores in all the metros & non-metros cities at the end of this year. He hopes this JV will shoot up the turnover from Rs.15 crore to Rs.36 crore this fiscal year. As a part of the plan, Rajouri Garden in New Delhi is soon going to have the large format flagship store spread across 5000 sq. ft. In order to streamline this expansion plan, Aran KitchenWorld is going to upgrade its technology and infrastructure and will set up a manufacturing unit in Chennai by mid 2009. As far as franchise is concerned, the company has started looking for franchisees. New franchisees need to invest around Rs.45-50 lakh. Location-wise, the company will go for franchised outlets in big towns and company-owned outlets in big cities, as revealed by Bohra. The company has allocated around Rs.15 crore in their expansion through franchise route.
