Mumbai, 4 May: Aditya Birla Fashion and Retail will be the new name after company’s merge with Pantaloons and Madura Garments. ABFRL will be Rs 5290 cr fashion lifestyle company and largest in India.
In a process to make the existing one more firm and bigger, Aditya Birla Group is going to merge its apparel businesses with Pantaloons and Madura Garments. The newly create corporation will be named as Aditya Birla Fashion and Retail and apparently will be the largest fashion and lifestyle company in India with a business of Rs 5290 Cr.
Board members of all respective companies approved this particular scheme as mentioned first by PTI. According to the scheme, Aditya Birla Nuvo and Madura Garments (MGLRCL) will merge with Pantaloons Fashion & Retail Ltd to create ABFRL.
All these above mention scheme and transaction are subject to corporate and regulatory approvals and may take 6 to 9 months time to be completed.
Aditya Birla group chairman Kumar Mangalam Birla focused in a press meeting regarding the merger. He told, “We are combining businesses of Madura Garments and Pantaloons from Aditya Birla Nuvo through a process of a vertical demerger and creating a listed apparel retail company. The new company will be the largest not only in the listed but also in the non-listed space.”
As official source reported, the new entry will have a retail network of 1,869 exclusive stores. This is expected to create revenue of worth Rs 5,290 Cr and a debt of Rs 1,775 Cr.
In his statement, Kumar Mangalam further stated regarding the share. He told, “The Group has created a structure where shareholders of ABNL will get a direct shareholding in the apparel business through ABFRL.”