Walmart India’s Flipkart has recently acquired 7.8 percent stake in Aditya Birla Fashion and Retail (ABFRL) worth $204 million.
Kumar Mangalam Birla, Chairman, Aditya Birla Group said, “This partnership is an empathetic endorsement of the growth potential of India. It also reflects our strong conviction in the future of the apparel industry in India, which is poised to touch $100 billion in the next five years.”
ABFRL anticipates that its emerging high-growth fashion categories such as athleisure, casual wear, and ethnic wear will drive the company’s expansion. The company is also stepping up the timetable of its large-scale digital transformation strategy. Through this, the company aims to elevate its position among omnichannel fashion leaders through deeper connections with customers and improved backend capabilities.
Kalyan Krishnamurthy, CEO of Flipkart Group said, “Flipkart is always seeking partnerships that will help it satisfy the discerning Indian consumer who seeks quality and value.”
According to Krishnamurthy, by teaming up with ABFRL, Flipkart can expand the array of choices available to fashion-conscious consumers across India and tap into the country’s promising opportunity in the apparel industry.
Ashish Dikshit, Managing Director, ABFRL said that the two companies complement each other and ABFRL is looking forward to their collective journey to delight customers of a young and aspiring India. “The partnership is poised to ignite the acceleration of India’s apparel industry and reshape apparel commerce,” added Dikshit.