Aditya Birla Fashion And Retail Plans To Raise Rs 750 Crore

Aditya Birla Fashion and Retail (ABFRL) on Thursday said that they are planning to raise Rs 750 crore on a private placement basis. The company plans to raise the amount on or after September 4 through debt bonds, it said in a regulatory filling. 

"The Company proposes to raise funds by issuing 75,000 listed, unsecured, rated, redeemable non-convertible debentures of face value of Rs 1,00,000 (Rupees One Lakh only) each issued at par aggregating to Rs 7,50,00,00,000 (Rupees Seven Hundred Fifty crores only), on private placement basis, on or after September 4, 2023," the filing said.

In another filing, the company said that it has completed the acquisition of a 29 per cent stake in TCNS Clothing Co Limited pursuant to the open offer, which is estimated to be over Rs 941 crore. As per an earlier announcement, ABFRL acquired a 51 per cent stake in TCNS for about Rs 1,650 crore. 

In June 2023, Aditya Birla Group forayed into the branded jewellery retail business with 'Novel Jewels Ltd' with plans to invest around Rs. 5000 crore in this segment. This business would build large-format exclusive jewellery retail stores across India featuring in-house jewellery brands.

This marked the group’s third major foray into a new business in the last two years, following paints and B2B e-commerce for building materials.

The group's Q4FY23 revenue stood at Rs. 2880 crore, marking a 26 per cent YoY growth. On a full-year basis, its revenue reached Rs 12418 crore for FY23, growing 53 per cent YoY and 41 per cent over pre-COVID months.

Its e-commerce sales in Q4 grew 77 per cent YoY, driven by effective B2B partnerships and brand.com. The company stated that its yearly e-commerce revenue was more than Rs 1300 crore.