Aditya Birla Fashion to raise Rs 2,195 crore from GIC

May 24, 2022

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NEW DELHI: Aditya Birla Style and Retail Restricted (ABFRL) on Tuesday stated it would elevate as much as Rs 2,195 crore from Singapore’s sovereign wealth fund GIC. The board of the Aditya Birla group agency has permitted the proposal to boost Rs 2,195 crore by the use of preferential issuance of fairness and warrants to an affiliate of GIC, a joint assertion stated.
“GIC will make investments Rs 770 crore now in the direction of subscription of fairness and warrants, adopted by as much as Rs 1,425 crore in a number of tranches inside 18 months upon train of warrants. Publish the whole funding, GIC will personal a 7.5 per cent fairness stake in ABFRL,” it added.
After the transaction, Aditya Birla Group will maintain a 51.9 per cent stake within the agency.
“ABFRL plans to make use of this capital to speed up its development engine constructed across the energy of its present companies together with a quickly evolving play in rising high-growth enterprise fashions,” in keeping with the assertion.
Aditya Birla Group chairman Kumar Mangalam Birla stated: “I’m delighted to welcome GIC, a worldwide institutional investor, as a long-term companion within the firm’s thrilling development journey. An funding of this nature serves to underscore ABFRL’s sturdy place and dynamic development mannequin”.
We’re delighted to companion with Aditya Birla Style and Retail to deliver our long-term capital and assets to help its subsequent section of development, Choo Yong Cheen, chief funding officer of Personal Fairness for GIC, stated.
“ABFRL has a robust monitor document of constructing manufacturers and its new enterprise traces, together with innerwear and ethnic put on, have sturdy structural tailwinds. We’re assured that the corporate is well-positioned to proceed its transformational journey right into a future-ready shopper firm powered by the expansion of India,” Cheen added.
ABFRL has recorded a income of Rs 8,136 crore, spanning a retail area of 9.2 million sq ft (as of March 31, 2022). It’s one in every of India’s main pure-play style powerhouses with a chic bouquet of main style manufacturers and retail codecs.



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