Private Equity

PE Fund Investments

Aditya Birla Fashion to acquire Reebok's India operations for Rs.100-Cr

BSE Release  

Mumbai-based, publicly listed Aditya Birla Fashion and Retail Ltd (ABFRL) is to take over Reebok's operations in India and Asean markets for INR 75-100 crore. Under a deal with Authentic Brands Group (ABG, a New York-based brand development, marketing and entertainment company), ABFRL will acquire online and offline rights to the Reebok brand for the Indian market and purchase certain assets of Reebok India Company, including inventory and current assets/liabilities. It will distribute and sell Reebok products through wholesale, e-commerce and Reebok-branded retail stores in India and Asean markets. The deal marks a foray for ABFRL into India's sports and activewear segment, which is expected to grow to USD 13 Billion by FY24 at an annual growth rate of 14%. ABFRL will partner with Reebok Design Group (RDG), the newly established global brand hub based in Boston (USA), on product design, development, innovation and creative direction. For FY20, Reebok India had reported a turnover of INR 429 crore.