Reliance Retail, Bharti Looking To Buy French Retailer Carrefour’s Indian Assets

Reliance Retail and Bharti Enterprises are believed to be in race to buy India assets of the world's second largest retailer Carrefour, which has recently decided to leave the country shut down its five stores.

According to reports, the availability of readymade cash and carry stores and the associated infrastructure has attracted interest of the two leading firms. Both Reliance Retail and Bharti Enterprises spokespersons declined to comment. Carrefour India regional director Frank Kenner, too, declined to comment on the issue of selling its India assets.

Carrefour had announced to close its five cash and carry stores in India. The company said, "Closure of Carrefour's business in India will be effective at the end of September 2014. Until that time, the company will continue to be fully engaged with all its employees, suppliers, partners and customers to ensure a smooth transition."

The $500 billion retail sector was opened up to foreign supermarket operators in 2012 but mandatory local sourcing requirements and the policy of letting state governments decide whether to allow global chains in their states has deterred new entrants.

The Narendra Modi government has also opposed foreign investment in the supermarket sector, fearing it will harm small shopkeepers.
Carrefour has already exited the markets like Greece, Colombia, Singapore and Malaysia in the past few years.