Celkon acquires Touch Mobiles; plans to expand chain through franchise model.

elkon Group, a mobile and electronics manufacturer, has acquired Touch Mobiles, an electronics retail chain with 42 outlets in Andhra Pradesh and Telangana for an undisclosed consideration.

The company is planning to expand the Touch Mobile business through a franchise model. “To start with, we are going to set up 200 outlets in the Southern States and in Maharashtra. We would like to take it to other parts of the country in phases,” Y Guru, Chairman and Managing Director of Celkon group, has said.

To make the franchises sustainable, the company would set up an institute in Hyderabad to train 1,000 ITI (Industrial Training Institute) students in electronics repair and servicing. “They will get a six-month training. We will help them forge revenue-sharing agreements with the Touch Mobile franchises that we are going roll out this year,” he said.

“Apart from the franchise stores, we would like to set up 50 company-owned stores. A good number of them would completely be managed by women,” he told businessline.

HBL