Gap-Arvind in talks to ink JV for India entry

According to the media reports, San Francisco

headquartered Gap Inc, the largest casual wear retailer in the US, is all set to enter the lucrative Indian market by inking a joint venture partnership with Arvind Lifestyle Brands. After Zara’s success in the country, many global brands are working out strategies to grab a pie of the market.

In the recent past, H&M and Massimo Dutti, another brand under Inditex portfolio got FIPB approval to invest in setting up stores in India. With bevy of international brands lining up, the organized retail scene in the country seems to be heating up.

The earlier media reports hinted at the giant looking for possibilities to either open stores on its own under the single brand FDI or through a joint venture with an able Indian partner. The US retailer already sources denims from Arvind for last many years. Arvind is also said to be negotiating a deal with Philip Van-Heusen Corp (PVH) to pick 49 percent stake in designer denim brand Calvin Klein.

After acquiring India operations of three major international apparel brands Debenhams, Next and Nautica, Arvind had signaled at its strategy to grow big in the organised apparel market. Arvind Lifestyle Brands, subsidiary of Arvind, which already has an impressive brand line-up comprising Tommy Hilfiger, US Polo Assn, Elle, Geoffrey Beene, Arrow among others, acquiring the business operations of Debenhams has also paved a way for it into the department store segment.