On Sunday the Aditya Birla Group has merged its apparel business into a Rs 5,290 crore entity named Aditya Birla Fashion and Retail (ABFRL), which will be the largest pure-play fashion lifestyle company in the country.
The scheme of arrangement had been approved by the board of respective companies on Sunday under which the apparel business of the group holding company Aditya Birla Nuvo (ABNL) and of another group firm Madura Garments Lifestyle Retail Company (MGLRCL) would be demerged into listed firm Pantaloons Fashion & Retail (PFRL).
“We are combining businesses of Madura Garments and Pantaloons from Aditya Birla Nuvo through a process of a vertical demerger and creating a listed apparel retail company. The new company will be the largest not only in the listed but also in the non-listed space,” Group Chairman Kumar Mangalam Birla said.
The new entity will be having a retail network of 1,869 exclusive stores.