Shares of Arvind Fashions surged up sharply on Friday afternoon after confirming the deal with Reliance Retail.
What Happened: The company which operates international brands such as US Polo and Calvin Klein in India, informed the exchanges that it has entered into a share purchase agreement with Reliance Beauty & Personal Care Limited, a subsidiary of Reliance Retail to sell and transfer the entire equity stake held by the company in Arvind Beauty Brands Retail Limited.
The transaction has been done at an enterprise value of ₹216 crore towards the sale of the entire equity stake and repayment of loans. The stake sale side of the deal amounts to around ₹99 crore.
In the previous financial year 2022-23, Arvind Beauty Brands Retail Limited contributed around ₹336.70 crores to the company’s consolidated topline, accounting for 7.60% of the total consolidated revenue.
Price Action: Arvind Fashions’ share price was up 10.46% to trade at ₹359 on Friday afternoon.
Get all the latest Share Market trends and news to set you up for the week ahead.
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.