With the purchase of 47,833 sq., Ingka Centres, part of the Ingka Group that comprises IKEA Retail and Ingka Acquisitions, has taken the first step towards expanding in India. The plot at Noida in Uttar Pradesh. This plot will be built into a shopping destination anchored by IKEA, adding to the 45 new meeting places across the globe at Ingka Centres. The overall funding for the project could be close to 5,500 crores (more than EUR 600 million).
The transaction confirms the long-term growth ambitions of the Ingka group in India. This gets near to the opening of the next IKEA India store in December 2020 in Mumbai. IKEA Hyderabad, which was India’s initial store, has been running for over two years now and exists in Mumbai, Pune, and Hyderabad online.
Moving Ingka Centers to India is part of its corporate vision to spread to new markets. Noida is selected as a modern shopping destination that suits the lifestyles of the fast-growing population in the National Capital Area as it is seen.
Cindy Andersen, Managing Director of Ingka Centers, said in a statement: “India is a fascinating and competitive market, and today’s acquisition is a crucial step in our strategic strategy of transforming business in response to the changing retail climate. Millions of people live within the simple reach of Noida, and we’d like to establish emotional links with them by adding as much meaning as we can to their lives and societies.”
Ingka Centres’ Gathering Area model is somewhat different from a traditional mall, offering a sustainable mixed-use venue that takes ‘many people’ together for several purposes. Meeting Places are situated around the IKEA store.
UP Chief Minister Yogi Adityanath invited IKEA and offered all requisite assistance.