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Radhakishan Damani

Popularly known as Mr. White and White, Radhakishan Damani is a prominent figure in the stock market, serving as a stock market investor, stockbroker, trader, and the founder & promoter of Dmart.

Rise of Mr. White and White

Damani’s retail chain, Dmart, boasts an impressive presence with 91 stores across India, ranking as the third-largest in the industry. Holding a substantial 52% stake in Dmart’s parent company, Avenue Supermarts, Damani’s investment company, Bright Star Investments, secures an additional 16% stake.

The Midas Touch

Before venturing into the retail sector, Damani earned acclaim as a savvy stock market investor, drawing comparisons to the legendary Rakesh Jhunjhunwala. Renowned for his ability to identify undervalued stocks with long-term potential, Damani has crafted a reputation as one of India’s finest value investors. Notably, he served as a mentor to Rakesh Jhunjhunwala.

A Man of Mystery

Ranked 98th on Forbes’ list of the wealthiest individuals, Damani has amassed a fortune of $1.1 billion, a remarkable achievement considering his humble beginnings. Despite his financial success, Damani maintains a low profile in the media, with limited information available about him. His focus on letting his work speak for itself has contributed to his mystique.

Early Days in the Stock Market

Damani’s entry into the stock market was not by design. Initially a trader in ball bearings, he reluctantly joined his brother in the stockbroking business after his father’s demise. Starting as a stock market speculator, Damani transitioned to a long-term investment approach, inspired by the renowned value investor Chandrakant Sampat.

Battling Harshad Mehta

Damani’s journey to success involved overcoming challenges, including initial setbacks in the stock market. Notably, he locked horns with Harshad Mehta, the infamous “Big Bull,” and emerged victorious, solidifying his legendary status in the stock market.

Enter Dmart: The Retail Revolution

In 2001, after years of stock market triumphs, Damani surprised many by exiting the markets and venturing into the retail industry. This decision led to the inception of Dmart, a chain of hypermarkets and supermarkets aimed at meeting the diverse needs of Indian families.

Dmart’s Unique Strategies

Dmart distinguishes itself through strategies focused on customers, vendors, and employees. By strategically locating stores in high-traffic residential areas, the company caters to its middle-income target audience. Dmart’s commitment to paying vendors promptly and building strong relationships underscores its success.

Dmart’s Profitable Model

Dmart’s profitability surpasses its competitors, attributed to its cost-efficient operational model. The company’s ownership of a majority of its store properties, avoidance of mall locations, and emphasis on low operational costs in suburban areas contribute to its financial success.

Steady Growth and Expansion

Dmart’s growth trajectory has been impressive, with expansions initiated in 2007 and continued openings in various cities. The company’s revenue surged from Rs. 260 crores in 2006-07 to Rs. 3,334 crores by 2012-13. Dmart achieved profitability within a decade, outpacing larger competitors in sales per store.

Continued Success

As of the latest available information, Dmart operates 91 stores across 26 cities, maintaining its profitability. With revenues reaching Rs. 6,450 crores and a profit of Rs. 211 crores in FY14-15, Dmart stands as a beacon of success in the Indian retail sector.

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