Arvind Fashions Limited to Acquire 31.25% Stake in Arvind Youth Brands Private Limited for INR 135 Crores

Arvind Fashions Limited, a leading fashion apparel company, has entered into a Share Purchase Agreement (SPA) with Flipkart India Private Limited to acquire the latter's entire shareholding of 31.25% on a fully diluted basis in Arvind Youth Brands Private Limited (AYBPL). Upon completion of the formalities under the SPA, AYBPL will become a wholly owned subsidiary of Arvind Fashions Limited. The acquisition is a related party transaction as Flipkart India Private Limited is a related party of AYBPL. However, Arvind Fashions Limited and Flipkart India Private Limited are not related parties. The acquisition is being undertaken at arms’ length, based on a valuation report dated 24th December 2025. Arvind Fashions Limited will acquire 31.25% of the total shareholding of AYBPL on a fully diluted basis, comprising of 1 equity share of Rs. 10 each and 58,95,852 Compulsory Convertible Preference Shares (CCPS) of Rs. 100/- each, for a cost of INR 135 Crores. AYBPL is primarily engaged in the business of wholesale and retail of apparel and accessories under the brand name ‘Flying Machine’. The turnover of AYBPL for the financial year ended March 31, 2025, was INR 432.16 Crores.