India-based Arvind Limited, one of the largest integrated textile and branded apparel players, has raised Rs. 740 crore from the market by diluting (10 per cent) stake in subsidiary – Arvind Fashions Ltd. The company has completed the transaction and raised the amount from a private equity firm, Multiples.
“Arvind Fashions Ltd, a wholly-owned subsidiary of the company, has completed the transaction and raised equity capital of Rs. 740 crore pursuant to share subscription and shareholders Agreement dated October 25, 2016 signed with three funds managed by multiples. The transaction was done at overall enterprise valuation of Rs. 8,000 crore for company’s branded apparel business,” informs the company.
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It may be mentioned here that in the month of October Arvind had informed about its Board’s decision of raising fund by diluting 10 per cent stake in Arvind Fashions.
Arvind Ltd. earned a revenue of Rs. 5,407.26 crore in the financial year 2016.