Khadim India aims to complete distribution business demerger by March 2025

Footwear business Khadim India aims to complete the demerger of its distribution business and manufacturing segment into KSR Footwear Limited by March this year to boost its valuations and margins. The business is also looking into tapping into quick commerce for growth through tie ups. 

“The demerger is pending before the NCLT,” said Khadim’s chief financial officer Indrajit Chaudhuri, the Press Trust of India reported. “An order is expected by the end of this month or March. As of now, the planned effective date of the demerger is 1 April. Listing of the demerged entity [KSR Footwear Limited] will take place within May… We are expecting a margin expansion of 100-200 basis points for a full-year operation in FY’26.”

Khadim is also keen to tap into the swift growing quick commerce market in India for growth. The business is looking into partnering with quick commerce businesses including Zepto to offer its everyday products such as slippers and school shoes to metro based shoppers for delivery in just minutes, India Retailing reported. 

The Kolkata based business plans to expand its product offering to reach new customer demographics and aims to debut an athleisure line this season. Khadim currently counts around 890 brick-and-mortar stores in India and also retails online. The business recently onboarded 50 new distributors to bring its total to 776.