Aditya Birla Fashion and Retail Ltd (ABFRL) will set up a platform to foray into the direct-to-consumer (D2C) business. The board of directors of the company, in their meeting today, approved the setting up of the new subsidiary. Its D2C platform is focused on building a portfolio of distinct, new-age, digital brands across fashion, beauty and other allied lifestyle segments.

• Vedanta Outlook for the Week (April 29, 2024 – May 03, 2024)
• Tata Steel Outlook for the Week (April 29, 2024 – May 03, 2024)
• PFC Outlook for the Week (April 29, 2024 – May 03, 2024)
• Piramal Enterprises Outlook for the Week (April 29, 2024 – May 03, 2024)
• MANAPPURAM Outlook for the Week (April 29, 2024 – May 03, 2024)

The venture will initially be funded through ABFRL’s internal accruals, and at an appropriate time, the firm will look to bring in external capital to accelerate growth, the company said.
“Other than providing growth capital, ABFRL’s proposition is built around its strong operational expertise where it will utilise its rich experience and capabilities to scale up this portfolio,” ABFRL said.

The release also said the newly incorporated entity would organically incubate and acquire profitable and scalable D2C brands. The company’s entry into the D2C space comes at a time when the D2C market is expected to touch $100 billion by 2025.