DLF Brands may lose Mango's franchise

DLF Brands, the retail arm of DLF Ltd, may lose the franchise for Spanish fashion brand Mango. The latter is wanting to consolidate its operations in India with its other partner Major Brands India. Mango has been present in the country since 2001 with Major Brands, which also has nine stores.

DLF Brands had acquired the franchise for Mango in 2011 with an agreement to expand and open new stores in India. In the last five years, it has opened nine stores in the country. And since DLF has been slow in ramping up, Mango was forced to review the partnership. In July last, Aditya Birla Fashion and Retail acquired the global clothing brand Forever 21 in the Indian market from DLF Brands for $26 million (around Rs 175.52 crores). This business is growing at 30-40 percent per annum. In September, last year, Ahmedabad-based apparel maker Arvind took over the franchise of Sephora, part of French luxury conglomerate LVMH Moet Hennessy Louis Vuitton, from DLF Brands. Since then, Arvind Brands has more than doubled the number of its stores.