 The last word in luxury is wooing the most marquee ethnic wear chain in India. L Capital Asia, the private equity arm of the world's biggest luxury conglomerate, LVMH Group, is in discussion with Fabindia, to acquire a minority stake in the retailer.
Fabindia, one of India's most profitable retail companies, has been looking to raise Rs 200 crore to fund its expansion and existing operations through a round of fresh equity investments and by buying out the eight per cent stake held by the existing investor, Wolfensohn Capital Partners, which has been keen on exiting.
It was in 2007 that the fund, owned by former World Bank president James Wolfensohn, acquired about eight per cent stake in Fabindia for Rs 50 crore. Today the company is believed to be valued between Rs 1,000 and Rs 1,200 crore. The promoters, led by William Bissell and his family, own 50 per cent stake in Fabindia.
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