Reliance retail is speculated to take over Subway India operations

Reliance Industry’s retail arm Reliance Retail is soon speculated to takeover Subway Inc India. The new deal is expected to be closed for a whopping $200+ million, and the official announcements on the same are expected soon. Subway, a very popular name in the F&B segment, is now undergoing a restructuring process under John Chidsey, CEO. The new moves are the result of the company’s effort to reduce headcount and cut costs due to reduced sales. In recent times, various reports had suggested that Subway is looking out for ways to streamline its operations in India, and it wants to collaborate with local agents to renovate the current individual networks and regional master franchisees.

As of now, master franchisees were acting as development agents who will run the stores in the cluster while not owning them. Reliance Retail is a worthy candidate for this new offering as it has operations in retail chains spanning across categories like fashion, lifestyle, consumer electronics, luxury, and grocery. Some of the brands in Reliance Retail’s portfolio are  Reliance Fresh, Reliance Trend, Reliance SMART, Reliance jewels. Hamleys, and Project Eve. RIL also acquired a 20 percent controlling stake in popular search engine Just Dial to connect local merchants.