New Delhi: Aditya Birla Fashion and Retail Ltd has announced the acquisition of 51 per cent stake in designer brand Sabyasachi to strengthen its position in the growing apparel market and tap the luxury segment.
It will infuse Rs 398 crore, which will be subject to closing adjustments. The Aditya Birla group firm expects to complete the acquisition in 30 to 45 days.
“The Sabyasachi brand has set new benchmarks and captivated the imagination of the sophisticated global Indian consumer,” Aditya Birla Fashion and Retail Ltd (ABFRL) Managing Director Ashish Dikshit said.
Over the next few years, ABFRL intends to craft a portfolio of ethnic wear segments- value, premium and luxury.
The Sabyasachi brand operates in categories such as apparel, accessories and jewellery and besides the domestic market, it has a franchise base in foreign markets such as the US, the UK and the Middle East. It had a revenue of Rs 274 crore in FY 2019-20.
“We will work together to grow a truly global luxury brand out of India,” Sabyasachi Brand CEO and Founder Sabyasachi Mukherjee said.
ABFRL had a revenue of Rs 8,788 crore in FY19-20 and has a network of 3,025 stores, approximately 26,000 multi-brand outlets with over 6,500 point of sales in department stores across India.