Aditya Birla Private Equity has picked up a minority stake in Creative Lifestyles, the flagship company of the Mumbai-based Creative Garments, with a valuation of over Rs 300 crores. Creative Lifestyle is the owner of women's apparel brands, 109°F, Fusion Beats and O2xygen.
Aditya Birla Group has been seeing considerable increase in contribution of fashion retailing business, with the combined entity’s revenue growing by 40 percent and EBITDA by 43 percent, in the past two years. As per the announcement made in May this year, the Aditya Birla group’s apparel businesses and another group firm Madura Garments Lifestyle Retail Company (MGLRCL) was merged into listed firm Pantaloons Fashion & Retail (PFRL), which was to be renamed as Aditya Birla Fashion and Retail (ABFRL).
Commenting on the investment, D Muthukumaran, CEO of Aditya Birla Private Equity, said, “We are excited to be part of the growth story at Creative Lifestyle. In the last nine years, the Creative team has built a strong presence in women's branded apparel segment, which we believe has high potential for exponential growth in the coming years.”
Birendra Agarwal, Chairman of Creative Lifestyle adds, “We believe our partnership with Aditya Birla Private Equity will help in taking the company to the next level on the back of an impressive growth we have already achieved since inception in 2006. We will benefit from the right impetus, drive and experience.”
The brand 109°F, launched in 2006, which caters to casual western wear, has presence in over 366 retail outlets, including 35EBOs and 331 large format stores. Fusion Beats, an indo western offering catering to the Indian women, launched in 2011/12, sells across 10 EBOs and 200 large formats.