Kewal Kiran Clothing has acquired a 50 percent stake in Kraus Casuals Pvt Ltd for Rs 166.51 crore to enter the women’s denim and casual wear market.
Kewal Kiran will acquire the equity stake via primary infusion and secondary purchase and this acquisition will help the company broaden its market presence and strengthen its position.
Kraus Casuals manages the Kraus brand of jeans and specialises in designing and manufacturing women’s clothing, particularly casual and denim bottom and top wear for women, teens, and kids.
Kraus has a presence in more than 1,000 large-format stores, such as Pantaloons, Lifestyle, Shoppers Stop, Reliance, Lulu, etc.
It also has a network of 8 Exclusive Brand Outlets (EBOs) that will complement Kewal Kiran’s huge network of over 488 EBOs and more than 3,000 multi brand outlets.
“This acquisition marks a significant milestone in our journey, aligning with our strategic vision of expanding and diversifying our denim and casual portfolio,” Kewal Kiran CMD Kewalchand Jain said.
“It’s not only our maiden acquisition in KKCL’s history but also a testament to our commitment to growth and innovation and we warmly welcome Kraus into our fold,” he added.
“We anticipate this transaction to be earnings per share accretive and also generating enduring value for our shareholders in the years ahead,” Jain explained.
“Kraus has found a perfect strategic partner to help broaden its market segment and channel partners, significantly growing the brand,” Ravi Punjabi, Director at Kraus Casuals also said.
“The combined expertise in brand building, marketing, and distribution will ensure Kraus rises to its potential and Kewal Kiran’s resources and knowledge will be an incredible asset,” Punjabi too added.
