India’s Future Retail, 7-Eleven terminate franchise agreement
A person walks contained in the Huge Bazaar retail retailer in Mumbai, India, November 25, 2020. REUTERS/Niharika Kulkarni/File Picture
BENGALURU, Oct 5 (Reuters) – Future Retail stated on Tuesday it terminated a franchise settlement with 7-Eleven Inc to develop and function the U.S. firm’s comfort shops in India because it didn’t meet the targets of opening shops and fee of franchisee charges.
The 2 firms determined to mutually terminate the settlement, which was first in 2019 stating that Future Retail would run 7-Eleven’s first branded retailer in India.
Native media had reported earlier final 12 months that the COVID-19 pandemic had stalled the implementation of the franchise settlement.
Future Retail, which operates native retail chains akin to Foodhall and Nilgiris, had stated in 2019 it deliberate to each arrange new shops beneath the model from scratch and to transform a few of its current operations into the U.S. model.
The termination, nevertheless, would haven’t any monetary or enterprise affect on Future Retail, the corporate stated in its assertion.
Reporting by Soumyajit Saha in Bengaluru; enhancing by Uttaresh.V
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