Home / Companies / News /  Biba Apparels buys stake in designer label Anju Modi

New Delhi: Women’s ethnic wear brand Biba Apparels Ltd on Monday said it has acquired a minority stake in designer label Anju Modi for an undisclosed sum, the New Delhi-based company’s second such stake in an Indian designer label over the past two years.

Biba, which runs 162 outlets across 65 cities under its own brand name, said the acquisition will help it cultivate a portfolio of investments in the luxury or high-end Indian ethnic wear market.

“This development is in line with our vision of strategic partnerships in the luxury fashion space," said Siddharth Bindra, managing director at Biba Apparels.

Biba has acquired a 35-40% stake in Anju Modi, which runs two stores in the country with plans to add another 4-5 stores over the next 12-18 months, following the deal. “We hope to touch a top-line of Rs40-50 crores over the next three years," Bindra added.

Bindra indicated it would eye more such investments in the Indian designer wear market in the near future.

In 2007, Kishore Biyani-led Future Group acquired a minority stake of 6.5% in Biba, which was later increased to 25.8% in 2011. In 2013, Biyani divested from the business.

For the financial year ending 31 March 2014, Biba Apparels had revenue of a little over Rs400 crore.

This is the second such transaction for the company. In 2012, Biba acquired a 51% stake in designer Manish Arora’s label, ‘Indian by Manish Arora’.

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