Aditya Birla Fashion acquires 51 percent stake in Finesse International

New York – India’s Aditya Birla Fashion and Retail Ltd (ABFRL), which counts labels such as Louis Philippe, Peter England and Van Heusen on its portfolio, announced earlier this week it has acquired a 51 percent stake in Finesse International Design.

As explained in a joint release, the acquisition of Finesse International Design is a combination of primary equity infusion and secondary share purchase. The completion of the proposed acquisition is subject to necessary approvals and customary closing conditions.

Finesse International Design retails bespoke ceremonial wear and contemporary apparel for men and women under the Shantanu and Nikhil brand. This acquisition comes soon after ABFRL acquired ethnic apparel and lifestyle retailer Jaypore.

“Indian ethnic wear is a large segment in the Indian fashion market and we have identified it as an important growth opportunity for us," said Ashish Dikshit, managing director, ABFRL. Indian consumers are increasingly seeking contemporary India-inspired designer wear, he further added, backing up the group’s growing interest in ethnic fashion.

ABFRL will grow the brand’s existing couture business but also launch new ready-to-wear collections to extend the reach of the brand across more consumer and market segments, the company said, indicating that there could be a more affordable range coming from the brand that has been worn by celebrities such as Kareena Kapoor, Amitabh Bachchan, Serena Williams and Priyanka Chopra.

Commenting the deal, Debashish Mukherjee, partner and head, consumer and retail, India, at AT Kearney, highlighted that “Branded ethnic wear that addresses the aspirations and design quotient of working millennials is a great way of creating expansive growth."