Kewal Kiran Clothing Limited (KKCL) has announced the acquisition of a 50% stake in Kraus Casuals Private Limited (KCPL) for Rs 166.51 crore. The acquisition involves both primary infusion and secondary purchase, marking KKCL’s entry into the women’s denim and casual wear market.
“Today’s acquisition marks a significant milestone in our journey, aligning with our strategic vision of expanding and diversifying our denim and casualwear portfolios. It’s not only the maiden acquisition in KKCL’s history but also a testament to our commitment to growth and innovation,” said Kewalchand Jain, Chairman & Managing Director, KKCL.
KCPL operates under the brand ‘KRAUS Jeans’, specialising in manufacturing, selling, designing, and exporting women’s, teen, and kids casual and denim wear. Previously, the business operated under the partnership firm Oriental Trading Company (OTC). The partners of OTC have agreed to transfer the business to KCPL as a going concern.
Retail Presence
- Kraus has a presence in over 1,000 large format stores, including Lifestyle, Pantaloons, Reliance, Shoppers Stop, and Lulu.
- It also has 8 Exclusive Brand Outlets.
- This acquisition will complement KKCL’s extensive network of 488 exclusive brand outlets, over 80 distributors, and a presence in more than 2,000 national chain store counters across India.
Hemant Jain, Joint Managing Director of KKCL, highlighted the acquisition as a step towards becoming a casualwear brand for the entire family, leveraging KKCL’s strong global distribution network to boost Kraus’s growth and expansion.
Ravi Punjabi, Director of Kraus Casuals Private Limited, also expressed enthusiasm on the new partnership, saying that KKCL’s resources and expertise will help Kraus reach its full potential in the womenswear segment.
Advisors to KKCL in this acquisition included Marathon Capital Advisory Private Limited, Bansi S. Mehta & Co., Chartered Accountants, and Wadia Ghandy & Co. Advocates, Solicitors, and Notaries.
