Private equity firms Warburg Pincus and Faering Capital have invested Rs 300 crore in Biba Apparels, a women and girls ethnic apparel brand.
Biba will be using the investment to ramp up its stores pan-India. The investment will also provide an exit to existing investors Future Lifestyle Fashion.
Siddharath Bindra, Managing Director, Biba, told Business Line that the company will be adding 200 stores in the next three to four years. “We will be investing Rs 150 crore to scale up presence across India,” he said. Set up in 1986 by Meena Bindra, the company has 132 stores, a majority of which are company-owned-company operated.
Kishore Biyani-promoted Future Ventures India Ltd owned an 18 per cent stake in Biba that it acquired in 2006 for an undisclosed amount. Biyani had recently exited the venture.
Bindra said the company is also mulling to launch value brands to enhance its presence at lower price points and also scale up presence in international market.
It also plans to expand its distribution network and strengthen presence in the higher-end fashion category through new product launches and JVs with acclaimed designers.
Kishore Biyani, Group CEO, Future Group, said: “We have had an exciting journey being part of the growth of Biba…We are happy that the brand will now have the support and expertise of Warburg Pincus and Faering Capital to take it to the next level. India is just witnessing the emergence of large fashion brands and we are quite sure Biba will play a major role in this journey in the years to come.”
Faering Capital is a boutique Indian asset management firm founded by Aditya Parekh and Sameer Shroff.
Vishal Mahadevia, MD and co-head India, Warburg Pincus, said: “Over the last two decades, Biba has built a women’s ethnic wear brand in an industry that continues to demonstrate positive growth trends.”
Equirus Capital acted as the financial advisor to Biba and Future Lifestyle Fashion for the transaction.
Bindra said Biba had clocked a turnover of Rs 310 crore in March.
