Praxis Home Retail Ltd (PHRL) was originally incorporated on January 31, 2011 as GRN Energy Private Limited with the Registrar of Companies, Maharashtra at Mumbai. Further, name of the Company was cha
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nged to GRN Retail Private Limited and a fresh Certificate of Incorporation was issued on December 21, 2016 by RoC. Furthermore, name of the Company was changed to Praxis Home Retail Private Limited and a fresh Certificate of Incorporation was issued on January 5, 2017 by RoC. Pursuant to the Composite Scheme of Arrangements under the relevant provisions of the Companies Act, 2013, the Company became a public Company domiciled in India.
The Company is engaged in the business of home retailing through departmental stores under various formats across the country. The Company operates stores of home furniture and home fashion under the brand name of 'HomeTown' and also operates the web portal (www.hometown.in) to drive online sales of furniture, furnishing products with wide range of assortment catering to large section of customers. The Company is present on leading market places likes Flipkart, Amazon and Pepperfry. The web portal in addition to offering rich information on design & modular solutions i.e Design & Build, Modular Kitchens & Wardrobes also helps in capturing details of potential customers to enable service closure by the physical stores. HomeTown as a one-stop shop continues to thrive focus on customer satisfaction while providing a wide range of furniture, home furnishing goods, design and build, other home related products and high quality services including complethome design, modular kitchen designing, electronics, along with great in store experience.
The Company continues its strategy of adopting a measured approach towards growth that captures consumer spend from a growing set of Indian consumers and at the same time ensuring that this growth is sustainable and value accretive in the long run. A key focus for the Company is to increase its velocity of sales for existing business and increase the overall retail space and presence. The objective has been to enhance assortment relevance, improve quality standards, shopping experience and reinvent ourselves for higher customer conversion ratio, better ticket sizes, better same store sales growth and focus on higher margin products. Pioneering home retail in India since 2007, the Company offer a large, curated selection to furnish a home from furniture, homeware, decor and furnishings, modular kitchen, kitchenware, bathroom accessories and design and build consultation and services.
The Company is determined to design format stores through use of technology, innovation in services, layouts, sections and digital interface. It aims at attracting more evolved and experience seeking customers in key catchments and metros. These stores redefine the shopping experience and set new benchmarks for retailing in India. HomeTown store is where many of the Company's innovations and ideas to give consumers a world class shopping experience have come together.
As part of other efforts to enhance customers' shopping experience and have a bigger share of their shopping wallet certain other initiatives have also been taken. This includes EMI facility through financing companies for spends above certain limit across stores of the Company, and many more initiatives. These innovative fast-growing digital tools are yielding deep consumer big-data which in-turn shall immensely help in penetrating deeper into customer-base while at the same time, bringing in new age customers in large numbers. e-Commerce.
Hometown has become a formidable brand on all the market places with a strong brand recall. The customers delved into new fulfilment models with marketplaces which gave them disproportionate returns and strengthened the brand image. With the vision to continuously enhance the customer buying experience, the Company is revamping website and app with new features and improved design. This will help increasing the conversion on the website and provide users a seamless experience. The Company is working to develop a separate fulfillment structure for e-Commerce business to further improve on the timelines and promise to the customer. This is being done by keeping in mind that we also optimize supply chain to get maximum output by efficient utilization of resources. There are lot of initiatives in progress and pipeline to build on the Omani channel experience so that customer has a seamless shopping experience both at physical store and on our website. The Company understand the importance of online sales channel in post Covid-19 era. Hence, it is determined to further strengthen the internal systems and processes to provide a world class experience.
The Company continues to be a one stop destination for all home interior requirements - products and services. It has continued to work on optimizing productivity on per store basis which has become ever so important with stores reopening post the lockdowns. To ensure the desired efficiency, the Company seeks to run some categories on Sale or Return (SOR) model (Office furniture, Home Improvement etc to name a few) which will ensure minimize risk with respect to excess inventory without hampering the customer experience. The Company have instituted various safety measures across all the stores to ensure a safe shopping environment. Another focus area is improving throughput per square feet through a combination of - improving footfalls, increasing conversions, introduction of newer and contemporary range of assortment across categories.
The Composite Scheme of Arrangement between the Future Retail Limited (FRL or First Demerged Company) and Bluerock e Services Private Limited (BSPL or Second Demerged Company) and Praxis Home Retail Limited (PHRL or Resulting Company) and their respective Shareholders under the sections 230 to 232 read with Section 66 of the Companies Act, 2013, for Demerger of Home Retail business of FRL into the Company with effect from August 1, 2017 and e-Commerce Home Retail business of BSPL into the Company with effect from April 15, 2016 was sanctioned by the Hon'ble National Company Law Tribunal, Mumbai bench vide its Order dated November 20, 2017. Pursuant to the scheme, all the assets and liabilities pertaining to Home retail business of FRL and e-commerce division of BSPL has been transferred to and vested in the Company. Accordingly, on December 8, 2017 the Company issued 2,46,33,208 equity shares of Rs 5/- each to the eligible shareholders of Future Retail Limited and 6,30,000 non-cumulative redeemable preference shares of Rs 100/- each, bearing coupon rate of 9% p.a. non-cumulative to the eligible shareholders of Bluerock e Services Private Limited as per the scheme.
During the year 2021 , equity shares aggregating to 27,50,000 were allotted to Future Corporate Resources Private Limited (FCRPL) on January 16, 2021 pursuant to exercise of conversion option of 2,915 Compulsorily Convertible Debentures (CCDs) out of 7,500 CCDs originally allotted on December 12, 2019. Pursuant to the aforesaid allotment the paid-up share capital of the Company stands at Rs 21,49,16,040/-divided into 3,03,83,208 equity shares of face value of Rs 5/- each fully paid-up and 6,30,000 preference shares of Rs 100/- each fully paid-up. Pursuant to the aforesaid allotment the shareholding of FCRPL increased from 53.13% to 57.38% and the Company is a subsidiary of FCRPL.
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