MUMBAI|NEW DELHI: Reliance Brands has bought out the stake of Ronnie Screwvala-owned Unilazer Ventures in leading lingerie retailer Zivame and is in talks with other partners to take full control of the firm.People close to the development said Reliance Brands, which sells several premium and luxury labels such as Jimmy Choo, Tiffany, Diesel and Mothercare in India, could pay up to $160 million - or about Rs 1,200 crore - for acquiring Zivame. Zodius Capital and Malaysian sovereign fund Khazanah Nasional Berhad will exit the firm, these people added."The deal is as good as done," a person with direct knowledge of the matter told ET. "Reliance would be buying 100% stake in the company," he said.Reliance Brands and Zivame did not respond to emails seeking comments till press time Monday. Emails to Zodius and Khazanah Nasional Berhad went unanswered.In an emailed response to ET, Unilazer Ventures founder Ronnie Screwvala said his company had sold its entire 15% stake in Zivame to Reliance Brands last week.Zodius is the largest shareholder in Zivame with about 60% stake. Khazanah Nasional Bhd owns about 25%. 77211205Zivame holds substantial market share in the premium lingerie category but its expansion plans and fundraising have been hit by the Covid-induced lockdown. It was looking to raise $50 million by the end of last year, but the deal couldn't be completed.Zivame wanted to expand the number of stores from 35 to 60 by FY20. It posted revenue of Rs 140 crore in FY19 and was hoping to cross Rs 250 crore in revenue in FY20, ET had reported on September 26 last year.Acquiring Zivame could give a boost to Reliance's plans to offer multiple shopping and buying options to customers.Founded in 2011 by Richa Kar, Zivame also sells products under categories such as beachwear, active wear, and other apparel products and accessories. According to its website, the company has 30-plus retail stores and a presence in more than 800 partner stores across the country.
from Economic Times https://ift.tt/2WY834I
No comments:
Post a Comment