Senco to invest Rs. 350 cr on expansion.

Senco Gold, a Rs. 1,200-crore private jewellery retail chain, plans to spend around
rs. 350 crore to expand its retail network, says Suvankar Sen, Executive Director.

'To fund this, we would rely on Rs. 100 crore private equity investment, debt and our own resources. However, we are likely to maintain the current debt-equity ratio at 2:1,' Sen told BusinessLine.

The investment would be made to add around 42 outlets pan-India in the next three years.
IPO in four years

'We are negotiating with a few PE (private equity) players,' he added.

The company hopes to strike a PE funding deal before December this year for a minority stake, depending on the valuation. It plans to allow the fund to exit after three years.

'We are prepared to go in for an initial public offering to pave the way for the exit of the fund in 2018-19,' Sen said.

Senco, which sells designer jewellery, has adopted the franchise model also for growth.

HBL