Raymond plans to sell ColorPlus and Park Avenue
Raymond is taking a glimpse to sell its apparel retailing brands of ColorPlus and Park Avenue corporations, two folks familiar with the development said.
Raymond has held talks with Denmark-essentially based retail neighborhood Bestseller to sell the ColorPlus enterprise, nonetheless the talks failed with out a deal, they said.
One in every of the folks quoted earlier said Raymond became seeking a valuation of about ₹500 crore for ColorPlus and Bestseller became no longer willing to shell out that extraordinary money for the enterprise that owns about 90 standalone stores, rather than promoting thru other multi-place retailers. For Park Avenue, that operates about 70 standalone stores, Raymond is seeking “extraordinary extra” than ₹500 crore of valuation, he said.
Each Raymond and Bestseller declined to comment.
“As a policy we end no longer fetch part in any market hypothesis and having said that, at any time when we now have any facts to portion, we can,” Vineet Gautam, CEO of Bestseller India, said in WhatsApp message.
“As company policy, we end no longer touch upon market speculations,” a spokesperson for Raymond chimed.
Last year, Raymond became in the news for shedding extra than 1,000 of its workers amid a stinging pandemic that has hit the corporate treasure plenty of the retailers and manufacturers in India since early 2020.
Legacy Indian brands treasure ColorPlus and Park Avenue had been facing stiff competition in the final 5-ten years from global vogue bigwigs of Spain’s Zara, Sweden-essentially based H&M and Japan’s Uniqlo amongst a bunch of different global labels. On the more than just a few hand, the emergence of ecommerce platforms have intensified competitions even in tier-2 and tier-3 cities.
Raymond has enterprise pursuits from manufacturing, fleet transferring user goods (FMCG), true estate and retail is a essential a part of the with regards to century-former neighborhood essentially based in 1925. Bestseller sells its vogue and standard of living products in 46 worldwide locations thru extra than 2,800 chain stores and 12,000 external multi-place stores.
In India, Bestseller sells the 5 brands including Jack & Jones, Vero Moda, Top, Selected Homme and Produkt thru 375 irregular place retailers and extra than 1,200 store-in-retailers. Raymond’s ready-to-wear enterprise, ColorPlus, Park Avenue and casual clothing place Parx, are amongst the “four vitality brands” of the Mumbai-essentially based neighborhood.
(Procure your total Industry Files, Breaking Files Events and Most modern Files Updates on The Financial Times.)
Procure The Financial Times Files App to rep Each day Market Updates & Reside Industry Files.