Bangalore: Clothing retailer Arvind Lifestyle Brands, a unit of Arvind Ltd, said it struck a deal with US-listed Hanesbrands Inc. to sell innerwear brands Hanes and Wonderbra in India.
“This transaction is a significant milestone as it signals our entry into the highly lucrative of branded apparel essentials with lingerie and undergarments,” managing director Sanjay Lalbhai said in a statement.
The companies did not disclose terms of the deal.
The deal marks the entry of Arvind Lifestyle, which owns brands such as Flying Machine and the retail chain Megamart, in the innerwear market. According to the company’s estimates, the Indian innerwear market is valued at Rs18,000 crore.
The company expects the Hanes businesses to reach Rs500 crore in sales over the next four years, Arvind Lifestyle managing chief executive J. Suresh said. He said the company will increase the points of sale for Hanes to 15,000 from 5,000 in three years.
Shares of Arvind rose 2% to Rs91.05 at 1pm on Monday on BSE.