Kishore Biyani's Future Group is all set to bring Japanese owned US-headquartered convenience store chain 7-Eleven to India. The board of Future Retail is likely to meet today to consider this deal, sources privy to the developments told CNBC-TV18.
Future Group will be bringing 7-Eleven to India through the master franchise route, said people familiar with the matter. The tie-up for these 24 x 7 stores will be on a revenue-sharing model and will involve some amount of technology transfer as well.
The licensing arrangement will be for the long term or for at least 70-80 years, said sources. The 7-Eleven stores are likely to have several product categories but the big focus will largely be on food. The Seven & i Group, owns 7-Eleven among other retail formats.
This deal is in line with Future Group's small store strategy. The company has about 1,500 small stores at present and plans to scale this up to 10,000 stores over the next few years.
Retail chains like Easy Day, Heritage Retail, and Nilgiri’s make up Future Group's small store network and contribute about 15 percent to sales. In response to CNBC-TV18's query, Future Group said that it does not comment on market speculation.