The giant footwear brand in India, Bata has recently stated that it has sold its famous brand Hawai to the Brazilian company named Alpragatas. The officials of the company have informed that the total sale involved an amount of about Rs 3.90 crore and the company has taken the decision, because there are a number of cheaper duplication of the brand available in the unorganized sector, at the moment.
The Chairman of Bata India, Mr. P Sinha was talking about the companys recent selling of the Hawai brand on Thursday and said, "The brand had become synonymous with the cheaper brands in the unorganized sector and was being sold at about one-third the price of Bata products". The company organized its 75th annual general meeting in Kolkata on Thursday and while talking about the meeting, Mr. Sinha informed that the companys shareholders have approved a 15 per cent dividend on equity shares and an additional 5 per cent dividend on the occasion of the companys platinum jubilee. He added that the company is offering this dividend to its shareholders after a gap of five years.
Mr. Sinha was also talking about the companys upcoming plans regarding its business expansion and said that Bata is planning to open 240 new stores over the next three years across the country using cash accruals. He informed that the company is thinking of setting up 60 new stores during this year and it is also going to upgrade another 30 existing ones, in an attempt to redesign them according to the changing consumer preferences. He added, "We will redo around 30 of our existing stores every year in terms of design and merchandise display. We will now concentrate on large-format stores of 3,000 to 10,000 sq ft. Most of the stores will be franchise-run and the interiors will cost us around Rs 2 crore per store". The company is having a number of 1,200 stores in India and another 2,000 SKUs, at the moment.