Aditya Birla Fashion and Retail Ltd (ABFRL) has entered a strategic partnership with India’s largest designer brand Sabyasachi by signing a definitive agreement for acquiring 51 percent stake in the brand, the leading fashion company announced on January 27.
Sabyasachi had FY20 revenues of Rs 274 crore and ABFRL paid Rs 398 crore for the stake purchase.
In a disclosure to the exchanges, the Aditya Birla group firm said, “Sabyasachi is India’s largest and most influential luxury designer brand with strong Indian roots and global appeal. The brand straddles categories such as apparel, accessories and jewellery and has a strong franchise in India, US, UK and the Middle East. The ABFRL platform will complement brand Sabyasachi on its journey to becoming a global luxury house out of India. This partnership will add significant weight to ABFRL’s growing ethnic wear portfolio”.
“This will accelerate the company’s strategy to capture a large share of ethnic wear market through a comprehensive and attractive portfolio of brands, across key consumer segments, usage occasions and geographies. The company expects to build a large ethnic wear business over next few years to complement its strong and diverse portfolio in western wear segment of the Indian apparel market,” it added.