ABFRL to strengthen portfolio through latest acquisitionABFRL - 226 Change: -2.20 (-0.96 %)
News: In a bid to further strengthen its fashion and lifestyle portfolio, ABFRL has partnered with leading designer Masaba Gupta with acquisition of 51% stake in brand 'Masaba'. Consideration for the same is Rs.90 crore. The partnership aims to create a young, aspirational and digital-led portfolio play, across the affordable luxury segment in the fashion, beauty and accessory categories.
Views: The brand is expected to clock Rs.30 crore revenue in FY22, which values the deal at 3.0x EV/sales (in line with ABFRL's past acquisitions). The brand is aiming to achieve annual sales of Rs.500 crore in the next five years and will be predominantly scaled through direct to consumer channels (D2C). In the recent times ABFRL has partnered with leading designers such as Sabyasachi, Tarun Tahiliani and S&N. The acquisitions are instrumental for ABFRL to become a US$2.8 billion entity by FY25.