Published
Nov 9, 2017
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Arvind to focus on core textile business and de-merge branded apparel

Published
Nov 9, 2017

On November 8, Arvind Ltd. announced that it will make both its apparel and engineering businesses separate from its main textile business and invest a large sum of money over the next three to four years.

Arvind will focus on their core textile business and de-merge Arvind Fashions - thearvindstore.com


In order to achieve double digit growth, Arvind Ltd. has decided to invest a sum of 1,500 crore rupees (approximately 225.4 US dollars) into their core textile business over the next three years. In an official statement, Arvind’s Chairman and Managing Director, Sanjay Lalbhai, said: “Over the next three to four years, we will invest almost Rs 1,500 crore and transform the textile business. We will do this by focusing on engines of growth and transformation namely - vertical integration, becoming an end-to-end solution provider and strategic supply chain partner to the world's most successful brands and retail concepts.”

Along with injecting funds into their core textile business, Arvind will also make their branded apparel and engineering business separate entities and list them on the stock exchange. “We have decided to demerge our branded apparel and engineering businesses from the parent company. The branded apparel business will be demerged into Arvind Fashions and the engineering business will be demerged into another entity Anup Engineering,” said Lalbhai.

Arvind Fashions is the India’s largest platform for fashion brands and they have a portfolio of international, domestic, and private brands including Excalibur and Ruggers. Arvind Ltd. have stated that, after the de-merger has been completed and Arvind Fashions is put up on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE), Arvind Ltd. shareholders will be given one share in Arvind Fashions for every five that they hold in Arvind Ltd. 

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