Reliance Brands may be in talks to buy out Genesis Luxury
Reliance Retail’s subsidiary Reliance Brands is currently in talks to fully acquire the group company Genesis Luxury after acquiring a 40 percent stake from L Catterton in September 2017.
Two sources connected to the deal reported to the ET Bureau that Reliance Brands is in the final stages of talks with Genesis Luxury as it aims to buy out the business. The deal is estimated to total Rs 450 crore ($67.6 million) which will constitute Reliance Retail’s acquisition of the remainder of the business from private equity firms and the business’ owner, Sanjay Kapoor.
Genesis Luxury sells an array of global luxury fashion brands including Canali, Paul Smith, Burberry, Armani, Jimmy Choo, and Just Cavalli. If Reliance Brands is successful in acquiring Genesis Luxury, it will take on these brands in India. As Reliance Brands is one of the largest retail distributors for global luxury brands in India as well as fast fashion brands, buying out Genesis Luxury would be another step to secure the business’ position in the market.
Genesis Luxury is part of Genesis Colors which is backed by the private equity fund Sequoia Capital. So far, no official statements have been made about the deal by either Genesis Luxury or Reliance Brands.
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