Dubai’s Landmark outlines $1bn investment plans

Chairman Micky Jagtiani said today he plans to acquire two or three companies over the next 12 months.

DUBAI // Micky Jagtiani, the chairman of the Landmark Group, today said his company plans to acquire two or three companies worth about US$1 billion (Dh3.6bn) over the next 12 months.

Landmark Group, the Dubai-based retail group, which recently snapped up the UK restaurant chain Carluccio's and the regional franchise for Fitness First, is eyeing a garment company headquartered in London, Mr Jagtiani said.

"We have a figure of two or three acquisitions a year," he said. "This is what we feel is digestible by us. We don't want to take too many small companies, and we cannot afford to take large companies. Three [acquisitions] a year would be ideal for us, but it would have to be the right thing for us to look at." He estimated these acquisitions would have an enterprise value of about $1bn.

Landmark, best known for its clothing chain stores, such as Babyshop and Splash, has been aggressively expanding its portfolio in recent years. It now has more than 940 retail outlets across the Middle East, and has branched out into hospitality, with Citymax budget hotels this year. In September, Landmark's subsidiary C1 Acquisitions offered a takeover bid for the UK-based Italian-style eatery Carluccio's, of £90.3m. Carluccio's has accepted the offer.

Last week, Landmark Group bought the franchise rights to Fitness First health clubs for an undisclosed price from Saudi Arabia's Alhokair group.