Bestseller to part ways with India partner

Denmark-based fashion house Bestseller, the owners of Jack & Jones and Vero Moda, has decided to

part ways with its four-year old franchisee partner in India, businessman Prashant Aggarwal. The company is unhappy with the way its brands’ business was being handled in the country.

Now the company owned by Danish billionaire Anders Povlsen and family, is said to be negotiating with other Indian companies for a possible partnership for all three of its brands present in India. Povlsen also separately owns around 37 percent stake in Bombay Rayon, a textile firm promoted by Aggarwal.

Povlsen also owns Bestseller Fashion India that supplies merchandise to Aggarwal-owned franchisee company Bestseller Retail India, which runs the nationwide network of Jack & Jones, Vero Moda and Only branded stores. While, as per industry insiders, sales at Bestseller Retail India almost doubled to Rs 235 crores during FY13 against Rs 124 crores a year ago, the company posted a net loss of Rs 34 crores and hasn't achieved break-even yet compared to other global brands doing well in the country.