Raymond Lifestyle is set to expand its retail footprint significantly by opening 900 new stores over the next three years, with ambitious targets of achieving 12-15% annual sales growth and 18-20% growth in operating profit, as per Chairman Gautam Singhania. The company, which is the demerged unit of Raymond, will debut on the stock market on September 5.
Singhania highlighted that the company’s strategic focus is bolstered by the economic challenges faced by countries like China and Bangladesh, as well as regions such as the UK, European Union, and Australia, which present growth opportunities for Raymond Lifestyle.
“The demerger is a strategic move to create a dedicated lifestyle business, enabling investors to focus on this specific sector,” Singhania explained. “With a standalone entity, we can sharpen our focus on the lifestyle segment, supported by a professional management team.”
Previously, Raymond sold its FMCG business to Godrej Consumer for Rs. 2,825 crore and later separated its lifestyle and real estate divisions, while retaining the engineering segment within the existing listed entity after acquiring Maini Precision.
Singhania also mentioned that the previous structure of the company, with its diverse business segments, did not attract the expected valuations as sector-specific investors were not keen on diversified portfolios. Now, with three independently listed companies, each entity is positioned to unlock shareholder value through focused management, strong financials, and optimized operational efficiencies.
