Premji buys 2% in Koutons for Rs 20 cr

Azim Premji has picked up a two per cent stake in Koutons Retail, an apparel retail company, for about Rs 20 crore.According to information available, Premji picked up about 300,000 shares of the Rs 700 crore publicly listed retail company, from the secondary market, through his private equity fund PremjiInvest.

This is the second investment by Premji in a textiles related company after he had bought a little over three per cent in Bangalore-based Himatsingka Limited. The company which is into textiles exports, also has a growing retail presence in home furnishings.

Ajay Mahajan, chief financial officer, Koutons Retail, confirmed the purchase by Premji.PremjiInvest is said to have a corpus of $1 billion (about Rs 4,000 crore) which is expected to be drawn down over three years. This private equity set-up has a team of about 20 professionals who hunt lucrative investment opportunities.

In addition to Koutons and Himatsingka, PremjiInvest has also invested $10 million (about Rs 400 crore) in Cicada Resorts, another Bangalore-based eco-tourism operator.

Read more in The Business Standard article.

Bombay Rayon to acquire brand for Rs 208 cr

Textile company, Bombay Rayon Fashions (BRFL) today said that the company has entered into terms of understanding for taking over brand 'Guru' and other related retail business on going concern basis, with Italian company Jam Session Holdings Srl for a total consideration of 33 mn euros (about Rs 208 cr).

The acquisition is by excercising the call/put option within 42 months and till then operate the brand and business on a lease basis.The company has also approved the scheme of amalgamation of its wholly owned subsidiary Leela Scottish Lace into the company. BRFL had acquired controlling stake in Leela for Rs 155 crore last year.

Arvind Mills, Diesel may call off JV

Indian textile firm Arvind Mills Ltd and Italian denim brand company Diesel SpA may call off their joint venture in which Diesel holds 51 percent. The joint venture, which was announced in May last year, had plans to open 15 stores in three years. But Diesel is expected to put its plans on hold for the time being, while Arvind Mills' priorities have changed since signing the deal.

Arvind Mills may have to spend enormous time and resources for the joint venture, which is likely to have a limited retail universe. Officials at Ahmedabad-based Arvind Mills were unavailable for comment.

Provogue India plans to raise Rs 477 crore

Fashion garments maker Provogue India on Friday said it will raise about Rs 477 crore through issue of shares and convertible warrants for its future activities including expansion plans.The firm would be raising these funds for expansion in its retail infrastructure subsidiary, expansion of current retail network, setting up of new retail formats, bringing international brands into India, and for general corporate purposes including acquisitions.

Provogue would issue 28.5 lakh equity shares worth about Rs 314 crore on preferential basis, it said in a filing to the Bombay Stock Exchange.Altima Partners, T Rowe Price, Genesis, New Vernon, Liberty International, Acacia Partners, Dharmayug Investment and CNBC have participated in the preferential offer, which would be locked in for one year from the date of allotment, the filing added.

Further, Provogue would issue 14.84 lakh convertible warrants worth Rs 163.24 crore to Everest Plaza Pvt Ltd, and Fairprice Traders (India) Pvt Ltd.Both shares and convertible warrants would be allotted at a price of Rs 1,100 each.

Armani enters into JV with DLF to open 1st outlet in India

Italian group Giorgio Armani will take a majority stake in a joint venture with Indian realty firm DLF to set up its first outlet in India, a media report on Monday said.The Italian group will take a 51 per cent stake in a joint venture with DLF, the Indian property developer - the biggest presence it is allowed in the country under regulations.

According to the report, the first Armani outlet would be opened at a new super luxury mall being built by DLF, which also has a partnership with Dolce & Gabbana, in New Delhi.

Tommy Hilfiger eyes 51% stake in Indian biz

Global premium lifestyle brand Tommy Hilfiger, controlled by buyout private equity Apax Partners, is looking at direct ownership of its India operations by bringing in the maximum permissible 51% foreign direct investment (FDI) allowed in single brand retail.

According to sources the Amsterdam-based Tommy Hilfiger Europe BV, which has effectively become the global headquarters for the original American designer brand following the Apax takeover, was considering buyout of the perpetual India rights, currently with the Murjani Group.

Read more in


The Economic Times article.