Active Stocks
Tue Mar 19 2024 09:41:05
  1. Tata Consultancy Services share price
  2. 4,046.00 -2.38%
  1. Tata Steel share price
  2. 151.30 1.14%
  1. HDFC Bank share price
  2. 1,444.20 -0.14%
  1. NTPC share price
  2. 313.00 -1.31%
  1. Power Grid Corporation Of India share price
  2. 263.50 -0.57%
Business News/ Companies / News/  Aditya Birla Fashion acquires 51% stake in Finesse International for 60 crore
BackBack

Aditya Birla Fashion acquires 51% stake in Finesse International for ₹60 crore

The acquisition comes a month after ABFRL acquired ethnic apparel and lifestyle retailer Jaypore for ₹110 crore
  • The acquisition of Finesse International Design is a combination of primary equity infusion and secondary share purchase
  • Ashish Dikshit, managing director, Aditya Birla Fashion and Retail.Premium
    Ashish Dikshit, managing director, Aditya Birla Fashion and Retail.

    NEW DELHI : Aditya Birla Fashion and Retail Ltd (ABFRL), which owns brands such as Louis Philippe, Peter England and Van Heusen, on Monday said it has acquired a 51% stake in Finesse International Design that retails bespoke ceremonial wear and contemporary apparel for men and women under the Shantanu and Nikhil brand for 60 crore.

    The acquisition comes a month after ABFRL acquired ethnic apparel and lifestyle retailer Jaypore for 110 crore. The latest acquisition will help ABFRL expand its presence in the branded ethnic apparel and accessories market covering both bespoke ceremonial wear and prêt lines.

    “Indian ethnic wear is a large segment in the Indian fashion market and we have identified it as an important growth opportunity for us," said Ashish Dikshit, managing director, ABFRL. Indian consumers are increasingly seeking contemporary India-inspired designer wear, he said.

    The acquisition of Finesse International Design is a combination of primary equity infusion and secondary share purchase, ABFRL said in a filing to BSE.

    ABFRL will grow the brand’s existing couture business but also launch new ready-to-wear collections to extend the reach of the brand across more consumer and market segments, the company said, indicating that there could be a more affordable range coming from the brand that has been worn by celebrities such as Kareena Kapoor, Amitabh Bachchan, Serena Williams and Priyanka Chopra.

    Finesse was set up in 2007 and runs five stores selling bespoke ethnic wear and contemporary Indian designs by Nikhil Mehra and Shantanu. It owns the brand Shantanu and Nikhil under which it also sells apparel, footwear and accessories. In FY19, it reported a revenue of 35 crore.

    “Branded ethnic wear that addresses the aspirations and design quotient of working millennials is a great way of creating expansive growth," said Debashish Mukherjee, partner and head, consumer and retail, India, at AT Kearney. The deal is likely to provide the brand scalability across multiple locations, he said.

    India’s domestic apparel industry stood at 5.41 trillion in FY18, growing at an average pace of 13.8% since 2010.

    Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

    ABOUT THE AUTHOR
    Suneera Tandon
    Suneera Tandon is a New Delhi based reporter covering consumer goods for Mint. Suneera reports on fast moving consumer goods makers, retailers as well as other consumer-facing businesses such as restaurants and malls. She is deeply interested in what consumers across urban and rural India buy, wear and eat. Suneera holds a masters degree in English Literature from the University of Delhi.
    Catch all the Corporate news and Updates on Live Mint. Download The Mint News App to get Daily Market Updates & Live Business News.
    More Less
    Published: 15 Jul 2019, 09:18 PM IST
    Next Story footLogo
    Recommended For You
    Switch to the Mint app for fast and personalized news - Get App

    Chat with MintGenie