With rising disposable income & desire to wear branded garments, large organised players are gearing themselves to make most of this opportunity. In recent past we have witnessed the core strategy for large brands like Aditya Birla or Reliance Retail is to acquire controlling interest in small brands which paves the way to offer complete portfolio to their customers. Recently, Aditya Birla Fashions announced similar deal in which they will take over TCNS Clothing which houses some of the establish women apparel brands like W, Aurelia etc. This acquisition transaction will be carried out through two steps, acquisition followed by merger.
Aditya Birla Fashion Retail Limited ("ABFRL" or "Transferee Company") is part of a leading Indian conglomerate, the Aditya Birla Group. ABFRL is a fashion powerhouse with an elegant bouquet of leading fashion brands and retail formats. The equity shares of ABFRL are listed on nationwide bourses. The registered office of the Company is located in the state of Maharashtra.
TCNS Clothing Co. Limited ("TCNS" or "Transferor Company") is India's leading women's branded Apparel Company. The company designs, manufactures, markets and retails a wide portfolio of women's branded apparel across multiple brands. The equity shares of TCNS are listed on nationwide bourses. The registered office of the Company is located in Delhi.
Proposed Transaction
The Board of Directors of ABFRL & TCNS has approved two-step transaction which will include acquisition of 51% of the paidup share capital of TCNS by ABFRL from promoter through a Share Purchase Agreement (SPA) and conditional public open offer followed by merger of TCNS with ABFRL. Essentially, ABFRL will seek to control controlling interest in TCNS before merging it with itself.
Open Offer:
Esta historia es de la edición June 2023 de M & A Critique.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 8500 revistas y periódicos.
Ya eres suscriptor ? Conectar
Esta historia es de la edición June 2023 de M & A Critique.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 8500 revistas y periódicos.
Ya eres suscriptor? Conectar
Batliboi Ltd. merging its associate company
Batliboi Limited has a history of collaborations with various foreign technical partners and has subsidiaries like Hydraulic & General Engineers Ltd. and Batliboi International Ltd. In March 2024, the board of Directors of Batliboi Limited accorded their approval for the merger of promoter owned private company with itself.
TVS Motors issuances of convertible preference shares as bonus instead of dividend
Recently, well known auto manufacturer announced the issuance of preference shares as a bonus to all equity shareholders.
Aditya Birla Fashion & Retails Scheme to undo its consolidation
Corporate restructuring saga continues for Aditya Birla Group.
Advent International to combine its listed & private entity business
Recently, Advent International announced the merger of its privately held pharma company into recently acquired listed pharma company.
Eris Lifesciences on Acquisition Spree to expand its branded formulations portfolio
Recently, Eris Lifesciences Limited announced acquisition of 'branded Formulation Business' of Biocon Biologics Limited pertaining to the India territory through slump sale. In addition, ELL also announced a foreign acquisition.
Vuenow Merges All Entities Will It Create Value?
Recently, Vuenow Infratech Limited, a BSE listed company, announced the merger of two private companies itself.
Dalmia Group continues its journey of segregation of businesses by way of demerger
Recently Dalmia Group announced yet another restructuring of one of its group companies Dalmia Bharat Refractories Limited.
Rane Group to consolidate its listed operational entities
After keeping different operational listed entities for years, Rane Group, one of the key players in Auto Ancillary space has decided to consolidate its listed operational companies under Rane (Madras) Limited.
Zuari Group's attempts to create the biggest private producer of Fertilisers
“Transfer of Identified shares from ZACL to ZMPPL is a precondition for approval of the merger transaction”
Shankara Building Products separates its trading & marketplace business for independent growth
Recently, Shankara Building Products Limited announced the demerger of its trading/building material marketplace business from its manufacturing business.