Solace in Germany

Confusion in the food trail

The joint venture between the Goenkas of RPG and Dairy Farm International (DFI) may well be on the verge of breaking down. Though no one is openly saying anything, it is being seen as one partner trying to buy out the stake of the other and take over complete control. But the truth may be somewhere between. Harsh Goenka, who owns 51% stake in the Rs 350 crore retail chain Food World, while DFI a $4.5 billion retail giant owns 49%. The tycoon’s Foodworld retail chain began operations in 1999 in Chennai with one store, and now has 96 such outlets. But that’s not enough for Goenka. Even Food World’s acquisition of more than 60% of the organised retail foods market in many major cities of India hasn’t enthused him. Thus no further investments have been made and there has been no recent expansion. If indeed the tycoon moves out of the food retail business, there is bound to be speculation on what lies in the future for his other retail business interests like Giant Hypermarkets, and Music World and for his beauty retail chain Health & Glow, in which the tycoon has partnered Guardian Pte Singapore, which incidentally is also a part of DFI. A case of double jeopardy perhaps.

Beyond the homestead

He has his planes hovering in the sky, and now he’s getting to work on the ground too. Subroto Roy’s Sahara has taken his Sahara City Homes townships idea to his home state. After ground-breaking residential townships across the country, he has turned to West Bengal. Here the tycoon has already acquired 300 acres in the new hot suburban town Rajarhat, though it’s all very hush hush at the moment. While word going around was that the tycoon would set up eight townships in the state, he seems to have decided on just five. The tycoon, is waiting for government approval to begin construction. The tycoon’s hopes are high that by June this year, he will be able to set in motion most of his 217 projects that he has planned for Sahara City Homes. According to tattle, the tycoon’s Sahara City Homes projects estimated to cost a staggering Rs 124,000 crore, includes projects of 39 townships in Uttar Pradesh, 17 in Bihar, 16 in Maharashtra and his latest five in West Bengal. The tycoon already has the backing of the Chief Minister of UP. But as for the other CMs, he’ll no doubt win them over, because each of his townships can provide employment to at least 3,000 people! How’s that for a winning friends formula with no ‘aides’ attached.

dilipcherian@hotmail.com