The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
One of India’s largest fashion retailers, Aditya Birla Fashion and Retail Ltd (ABFRL), will acquire a 33 percent stake in Tahiliani’s luxury demi-couture business for 67 crore rupees (approximately $9.25 million) in an all-cash deal, with an option to increase this shareholding to 51 percent in the next few years.
As part of the deal, ABFRL and Tahiliani will form new entity and launch a contemporary men’s ethnic wear brand in which ABFRL will hold an 80 percent stake and Tahiliani will control the remaining 20 percent.
ABFRL said that it intends this tie-up with Tahiliani to grow into a 500 crore rupees ($69 million) business over the next five years with over 250 stores across India.
“This partnership is in line with our stated strategy to craft a portfolio of brands that address the entire gamut of ethnic wear segments: value, premium and luxury,” Ashish Dikshit, ABFRL’s managing director said in a statement.
In January, ABFRL also made waves in Indian luxury fashion circles with a 51 percent acquisition of designer Sabyasachi’s brand for 398 crore rupees ($55 million).
Local streetwear brands, festivals and stores selling major global labels remain relatively small but the country’s community of hypebeasts and sneakerheads is growing fast.
This week’s round-up of global markets fashion business news also features Senegalese investors, an Indian menswear giant and workers’ rights in Myanmar.
Though e-commerce reshaped retailing in the US and Europe even before the pandemic, a confluence of economic, financial and logistical circumstances kept the South American nation insulated from the trend until later.
This week’s round-up of global markets fashion business news also features Korean shopping app Ably, Kenya’s second-hand clothing trade and the EU’s bid to curb forced labour in Chinese cotton.