Spice Group acquires Indian subsidiary of Dubai’s CellucomFebruary 2nd, 2009 - 9:25 pm ICT by IANS
New Delhi, Feb 2 (IANS) The B.K. Modi-promoted Spice Group has fully acquired the Indian subsidiary of Dubai-based mobile handset retailer Cellucom.Under the share-swap deal, Spice will acquire 100 percent stake in Cellucom which in turn will get 26 percent stake in Spice Group’s mobile retail venture HotSpot.
Saying it was a “cash-less deal”, Spice Group chairman B.K. Modi said: “The CEO and CFO of HotSpot will retain the positions in the new entity.”
He said his group would invest Rs.1 billion (Rs.100 crore) in the Middle Eastern chain in 2009.
Cellucom has over 100 stores in India as compared to HotSpot’s near 500 outlets.
Modi said the new entity, which is likely to be renamed as HotSpot Cellucom, would make about Rs.10 billion (Rs.1,000 crore) in revenue by 2009-10.