InvestorQ : How much stake in Aditya Birla Fashions selling to Government of Singapore?
Aditi Sharma made post

How much stake in Aditya Birla Fashions selling to Government of Singapore?

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Mahima Roy answered.
2 months ago
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The board of Aditya Birla Fashion and Retail Ltd (ABFRL) has given its approval for raising Rs2,195 crore from the Government Investment Corp (GIC) of Singapore. GIC, the sovereign wealth fund of the Singapore government, will invest Rs770 crore upfront via equities and warrants. The balance amount of Rs1,425 crore will be invested in ABFRL in one or more tranches by GIC over the next couple of years based on clear benchmarks.

Once the amount of Rs.1,295 crore is invested in ABFRL, GIC will get a 7.5% ownership in ABFRL. This gives ABFRL an indicative valuation of Rs17,260 crore or approximately $2.25 billion. The principal holding company will continue to be the AV Birla group with 51.9% stake even post the deal. ABFRL has a portfolio of marquee brands like Van Heusen, Allen Solly and Peter England in formal wear segment. Recently, ABFRL has been also buying stakes in upmarket fashion brands like Masaba, Sabyasachi and Tarun Tahiliani.

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