CCI nod to Future Group’s fashion biz restructuring

Fair trade regulator Competition Commission (CCI)

has approved the restructuring of Future Group’s fashion businesses that includes Pantaloon Retail. The restructuring process involves five Group entities – Pantaloon Retail India, Futures Ventures India, Indus-League Clothing, Lee Cooper and Future Lifestyle Fashions.

Noting that the proposed combination is a “measure of internal re-structuring of the Future Group companies,” CCI says there would be no change in ultimate control over any of the involved entities. “The proposed combination, therefore, is not likely to result in any adverse competition concern in India,” CCI said in its recent order.

Futures Ventures holds 95.29 percent stake in Indus-League, which owns branded apparel and accessories business such as Indigo Nation, Scullers among others. About 4.69 percent shareholding in the company is held by Bennett & Coleman. Lee Cooper is a subsidiary of Indus-League. Future Lifestyle is part of Pantaloon Retail. The latter holds 9.52 percent stake in Future Ventures.

As per the proposed deal, the entire fashion business of Indus-League, including Lee Cooper, would be merged with Future Ventures. The entire fashion business of retail major Pantaloon Retail including its format stores of Central, Brand Factory, Planet Sports would be transferred to Future Ventures. Further, the entire fashion business of Future Ventures would be transferred to and amalgamated with Future Lifestyle.