Apparel and footwear retailer Colorado group said it would ramp up store openings during the next five years in a bid to revitalise itself and ward off unwanted buyout interest.

Colorado, which this week urged shareholders to reject an offer from Affinity Equity Partners, plans to aggressively expand its retail portfolio in Australia and New Zealand, it said in a five-year strategy presentation.

In addition, the company will review manufacturing quality standards in the short term as well as realigning brands and products and filling key position gaps.

Colorado will launch JAG and Colorado Kids footwear in the second half of 2007 and, on a long-term basis, will also work to recapture its core targets - mid-market 'traditional families' and develop new channel opportunities. It also said it saw "potential to fill a gap to meet the needs of the active/wealthy 55+ market".

The retailer vowed it would "fuse attitudinal, demographic and behavioural need data to identify segment 'sweet spots'" and create clear value propositions to differentiate its Mathers and Williams brands.

It also cited potential to grow its JAG and Diana Ferrari brands "and gain increased share of spend from new and existing audiences."

Turning to its stores, Colorado said it would be reducing retail space dedicated to storage, boosting employee productivity and providing "additional flexibility to reconfigure stores for sale and peak season".

The firm is also hoping to boost efficiency in its supply chain by cutting down on time to market, automating operations where possible and standardising core processes in its value chain

Affinity last month offered to buy Colorado for A$4.50 (US$3.43) per share in cash through its Australian unit ARH Investments.

Colorado in May announced a 19% slump in annual profit to A$35.6m and said it accepted complete blame despite a troublesome market environment.