October 1, 2012

Indian retailer Arvind acquires two British global brands, one American brand

Arvind, through its subsidiary Arvind Lifestyle Brands,has acquired the business operations British fashion retailers Debenhams and Next and American lifestyle brand Nautica in India, from Planet Retail.

By RBR Staff Writer

Arvind, through its subsidiary Arvind Lifestyle Brands,has acquired the business operations British fashion retailers Debenhams and Next and American lifestyle brand Nautica in India, from Planet Retail.

Planet Retail is a retail marketing organization of apparel and accessories.

The transaction will enable Arvind to expand its geographical footprint and to expand its business.

Arvind chairman & managing director Sanjay Lalbhai told The Hindu Business line that, "These acquisitions will accelerate our growth and contribute to our vision of achieving sales of Rs 5,000 crore over the next five years."

Arvind Lifestyle Brands managing director & CEO J. Suresh said American sportswear lifestyle brand Nautica makes them the dominant player in the sportswear segment.

"Debenhams and Next will substantially strengthen our position in Womenswear & Kidswear segment," Suresh added.

"The company plans to achieve Rs 500 crore revenue over the next five years from the current Rs 70 crore by investing Rs 150 crore into these three brands."

Arvind plans to increase the current number of Debenhams stores in India from two to eight in the next three years and with Next apparel stores will be increased from three to 12 in the next three years.

Also, the company plans to set up additional 30 Nautica stores taking the tally to 41 free standing Nautica stores and 71 shop in shops in the next three years.

Arvind Brands sells various apparel labels like Arrow, Elle, Flying Machine, US Polo, Cherokee and Tommy Hilfiger among others, either through licenses or joint ventures

Further, Arvind Brands is planning to introduce the Flying Machine jeanswear brand in South Africa.