Swedish retail giant IKEA Group has come forward to set up its facility in 50,000 square metres area (12.355 acres) in Hyderabad by investing Rs. 500 crore.
The group has agreed to purchase land at Rs. 19.21 crore per acre in the Knowledge City at Raidurg here from Telangana State Industrial Infrastructure Corporation (TSIIC), according to a press release issued by the Chief Minister’s office. IKEA India Private Ltd, the Indian arm of IKEA Group, had sought allotment of 50,000 square metres area from Telangana government for setting up and expanding its business.
Accordingly, talks were held between the authorities of TSIIC and representatives of IKEA and the latter agreed to purchase the land at Rs. 19.21 crore per acre. Chief Executive Officer of IKEA India Juvencio Maeztu and CFO Preet Dhupar wrote to the government recently with their consent to purchase the land.
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The State Government officials said the IKEA business centre would provide direct employment to 500 persons and indirect employment to hundreds of others.