Daijiworld Media Network - New Delhi
New Delhi, Jul 6: Value fashion retailer V2 Retail Ltd is considering raising funds through a qualified institutional placement (QIP) to support its aggressive expansion plans and repay existing debt, according to Whole-Time Director Akash Agarwal.
Agarwal said the decision hinges on continued market performance. “If we are valued well in the market, then we might go the QIP route to fund new store openings and pay off our debts,” he said.

The company currently incurs a cost of around Rs 750 per square foot for new store setups and may revise its store opening guidance upward. However, Agarwal made it clear that any fundraising would be entirely business-focused, with no dilution of promoter stake.
V2 Retail aims to improve its Pre-Ind AS EBITDA margin from 8% in FY25 to 10% within two to three years. To achieve this, the company is working on three strategic levels: increasing sales per square foot from Rs 1,000 to Rs 1,200, spreading fixed costs over a larger footprint, and improving product mix with higher full-price sales to raise gross margins.
The company is also launching a unified label under the bold brand "No Brand Only Fashion" (NBOF). “We’re telling India that you don’t need a brand tag to be cool,” said Agarwal, reaffirming the company’s commitment to affordability and value.
Despite inflation, the average selling price (ASP) will remain stable with only nominal increases. “The current ASP is around Rs 300. So, nothing significant beyond inflation,” he said.
Looking ahead, Agarwal believes the company can scale up to 3,000 stores without altering its core model.