Textiles and branded apparel major Arvind Ltd has said that it has raised Rs 740 crore from the market by diluting stake in subsidiary — Arvind Fashions Ltd.
The company has completed the transaction and raised the amount from Multiples, a private equity firm, the company informed BSE in a filing.
“We hereby inform you that 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 company said.
“The transaction was done at overall enterprise valuation of Rs 8,000 crore for company”s branded apparel business,” it added.
On October 25, Arvind had informed that its board had approved the fund raising of Rs 740 crore by diluting 10 per cent stake in Arvind Fashions.
Arvind is the largest integrated textile and apparel firm and in FY16, it had a revenue of Rs 5,407.26 crore.