Gokaldas Exports (GEX) has agreed to invest in BRFL Textiles Private Limited (BTPL) by subscribing through Optionally Convertible Debentures (OCD). In its first tranche, GEX will subscribe for Rs. 50 crores, with the remaining OCDs worth up to Rs. 300 crores to be subscribed subsequently in multiple tranches, depending on the funding requirements. These funds shall be utilised mainly to meet the working capital needs, with a smaller portion towards the capex requirements. Further, subject to the fulfilment of certain conditions and receipt of applicable regulatory, statutory, or other required approvals/consents, a possible merger or acquisition will be explored by 30th June 2025.
“With the strategic investment in BTPL, we intend to stand largely self-reliant in fulfilling our raw material requirements for manufacturing. BTPL comes with excellent infrastructure in terms of machinery and configurations, world-class machinery, and specialisation in linen manufacturing. It is well known in the fabric processing segment and has specialised prints and yarn-dyed fabrics that are synergistic with our internal needs. The infrastructure supports the production of knits, wovens, and all fibre types,” said Gokaldas in a statement.
“We believe that investment in BTPL would accelerate GEX’s growth, leveraging the unique capabilities of BTPL. At this point, investment in a fabric processing mill would play an important strategic step for the company,” added the company.
Established in 1979, Gokaldas Exports has evolved into a one-stop solution for some of the world’s most recognised apparel brands. With an annual turnover of US $ 290 million in FY ’24, Gokaldas Exports is one of India’s largest manufacturers and exporters of apparel, exporting to more than 50 countries.
BRFL Textile Private Limited (BTPL) is the largest fashion-oriented fabric manufacturer with an established brand positioning both in India and internationally.
