India’s Future Group closes online furniture retailer FabFurnish acquisition

5 April 2016 (Last Updated April 5th, 2016 18:30)

Future Group has closed an all-cash acquisition of online furniture retailer FabFurnish.

Future Group has closed an all-cash acquisition of online furniture retailer FabFurnish.

The deal comes as IKEA, a Swedish furniture retailing firm, is set to move into the Indian market by 2017.

It will bring Future Group’s complete portfolio of home furnishings and decor business under the FabFurnish brand.

The acquisition will make FabFurnish one of the largest home furnishings and decor retailers in India, reported The Economic Times.

"We are creating the largest home furnishings company in the country."

Before the latest deal, Future Group had presence in 20 cities through its Home Town furnishing business.

The financial details of the deal have not been disclosed, but the FabFurnish team will remain the same.

An early player in online furniture retailing, FabFurnish competed with rivals such as Urban Ladder and Pepperfry, reported the publication.

Biyani told the publication: "We are creating the largest home furnishings company in the country. Ikea is coming in, and it will take them at least two to three years to become an Rs 1,000 crore [rs10bn] company, and we are already there."