Industry leader Aditya Birla Fashion and Retail Limited (ABFRL) will acquire a majority 51 per cent stake for ₹398 crore in leading Indian luxury ethnicwear or indutva brand Sabyasachi. ABFRL, part of conglomerate Aditya Birla Group, plans to complement the Sabyasachi brand in becoming a global luxury house out of India.
Sabyasachi is India’s largest and most influential luxury designer brand with strong Indian roots and has a strong franchise presence in the US, the UK and the Middle East. The partnership is expected to lend significant weight to ABFRL’s growing ethnicwear or indutva portfolio. The Sabyasachi brand, incorporated in 1990, had revenues of ₹274 crore in 2019-20, and is a leading player in designer apparel, jewellery and accessories for both men and women. ABFRL’s portfolio already includes leading indutva brand Jaypore.
It will accelerate ABFRL’s strategy in capturing a large share of the indutva market through a comprehensive and attractive portfolio of brands, across key consumer segments, usage occasions and geographies, the company said in a release. It expects to build a large indutva business over the next few years to complement its diverse portfolio in the westernwear segment of the Indian apparel market.
“We believe that over the next few years, ethnic wear is going to be an increasingly important category as young and confident Indians rediscover their culture and heritage. The Sabyasachi brand, through its emphasis on excellence in design and craftsmanship has set new benchmarks and captivated the imagination of the sophisticated global Indian consumer. We are proud to partner Sabyasachi in its journey to become the only global luxury brand from India. We see a ‘Made in India’ global brand like Sabyasachi occupying the pinnacle of our ethnic wear portfolio. Over the next few years, ABFRL intends to craft a portfolio that addresses the entire gamut of ethnicwear segments: value, premium and luxury,” said ABFRL managing director Ashish Dikshit.
“Over the course of the last couple of years, as my brand evolved and matured, I began searching for the right partner in order to ensure continuity and long-term sustainable growth. I am honoured and excited to have found that partner in Kumar Mangalam Birla and ABFRL. Aligned in our vision, and committed to excellence, we will work together to grow a truly global luxury brand out of India,” said Sabyasachi Mukherjee, CEO and founder, Sabyasachi brand.
Fibre2Fashion News Desk (RKS)
Aditya Birla Fashion and Retail Limited, India’s leading fashion company and part of a leading Indian conglomerate, the Aditya Birla Group, has signed a definitive agreement for acquiring 51 per cent stake in Sabyasachi brand. Sabyasachi is India’s largest and most influential luxury designer brand with strong Indian roots and global appeal.