The Koutons franchise success supported by world class contributors

The Koutons franchise raised a private equity of Rs 112.6 crore with UTI Ventures and US-based Argonaut, being the main contributors on November 29, 2006. The <ul type="continuous"><cf number="2">&#8217;</cf></ul>mens apparel franchise received a generous Rs 54.6 crore from UTI Ventures, while Argonaut made an investment of Rs 46 crore. The remaining Rs 12 crore was generated by other investors.

The promoters' equity in the garment services franchise now stands reduced by 17.86 per cent at 82.14 per cent. Next year, Koutons plans to raise an additional Rs 140 crore from the capital market. Currently, the garment services franchise operates 500 exclusive brand outlets, but expects to cross the 1,000-store mark in 2007-08.

Koutons also expects to record a turnover of Rs 1,000 crore for the financial year 2007-2008. Recently, Koutons launched Charlie Outlaw, a men's wear brand and there are currently 100 exclusive brand outlets for this brand all over the country. Koutons future plans are to launch a women's wear brand as well and shoes and accessories.

The men’s apparel franchise also has an aim to close this financial year with 450 Koutons' stores and 200 Charlie Outlaw stores. As part of its expansion plans, Koutons has set aside Rs 27 crore this year for advertising and plans to take it up to Rs 50 crore next year.