Korath Holding, one of the oldest business groups in the UAE, has announced the launch of its new venture, KM Retail that will focus on building an innovative retail concept at a planned investment of over Dh1 billion ($272.2 million) over three years.

Being the new global retail face of Korath Holding, KM will soon open over 30 retail stores of different formats and is looking at occupying one million square feet retail space during the year 2010.

Unveiling the details at a press conference on Monday, Riyaz Korath, CEO of Korath Holding, said, “With over four decades of being successful though our two brands KM Trading and Al Safa, we will leverage our learning and competence to confidently take the new retail brand KM to greater heights.”

“Each of the retail formats under KM have been carefully developed, and, with perfect execution will further strengthen our group’s competitive position as a leading retail group in the region,” he stressed.

Designed to meet international standards in retail shopping experience, KM Retail will open multiple KM retail format stores including convenience stores, supermarkets, department stores and hypermarkets, Korath said.

These will be further sub-branded for easy identification as KM Daily, KM Value, KM Experience and KM respectively. Subsequently, the new entity also has plans to open specialty retail outlets and stores, he stated.

Initial plans include multiple outlets in the UAE, closely followed by presence in GCC and India, making KM a multi-national brand, the company chief said, adding that the first set of KM stores in the UAE will be launched later this month.

Unveiling the new brand identity, Korath said KM will be in a position to optimise cost structures in several areas based on internal synergies and resources available within the group that include logistics, software development, interior décor, manufacturing, facility management and construction.

'The optimised cost structures will in turn enable us to deliver more value and quality in each of the retail formats to every customer of KM,' he explained. 

According to Korath, the KM retail formats will be geographically well represented across the UAE.

'More importantly, each format will offer a distinct mix of products and brands that are exclusive to KM customers based on thorough market research and understanding.'

'The group has also added experienced retail professionals from internationally successful retail chains to ensure quality is delivered and maintained to that of highest standards,' he added.-TradeArabia News Service