Carrefour and HDFC?

Will Carrefour be tying up with HDFC? That's the question everyone seems to be asking. After conducting talks with a long list of major Indian business houses, the French retailer has reportedly found a partner in HDFC Group's private equity arm. No details have been given by either of the companies as yet.

HDFC could float a separate holding company, may be a PE fund, which would, in turn, tie up with a third entity for getting Carrefour’s franchising rights for India, a source said.

Meanwhile, it is understood that Carrefour will completely retain the back-end wholesale operations, as 100% FDI is allowed in cash-and-carry segment. Even though Carrefour cannot invest in the equity of the retailing business, it will get its own people to spearhead the venture.