Leading fashion retailer Aditya Birla Fashion & Retail (ABFRL) can buy a controlling stake in Bewakoof.com for about Rs. 100 crore, marking its entry in the direct-to-consumer (D2C) segment.
Founded in 2012, Bewakoof.com is one of the first D2C brands.
As per a report of The Economic Times, both companies have signed a non-disclosure agreement and have also finished due diligence. The team at Bewakoof is also moving to join Aditya Birla’s new firm.
Bewakoof.com has an annual revenue of about Rs. 250 crore and it has raised Rs.160 crore in funding from investors.
Bewakoof.com targets youngsters increasingly embracing western-style clothing. Over the past few quarters, the company has been looking at strategic buyers and investors to fuel its growth plans.
It is worth mentioning here that in June, ABFRL set up its D2C entity TMRW and claimed that it will acquire as well as incubate 30 brands in the next three years.
The new firm, which is acquiring Bewakoof.com, is part of ABFRL’s strategy to build a portfolio of new-age, digital brands across categories in fashion, beauty and lifestyle segments.
During its earnings call in last quarter, ABFRL said it will make eight to 10 investments in early-stage digital-first brands by the end of this financial year and that its initial focus will be on broad categories of fashion.
