The Indian subcontinent is slowly and gradually witnessing the onset of a more concentrated and centralized corporate power with a few leaders dipping their toe in the sea of nearly every business sector or segment. We all know these few names- Ambanis, Birlas, Adani, Tatas and a few more. Adding another point to this list of mergers and acquisition by these leading and pioneering conglomerates, we have Sabyasachi. Yes, the renowned designer Sabyasachi.
On 27th January, in the capital of the country, Aditya Birla fashion entered into a professional relationship with Sabyasachi which is one of the most loved and appreciated labels for fashion in the country. By entering into this contract with Sabyasachi, Aditya Birls Fashion got a hold of its majority shares (51%) for a not revealed amount of money.
Sabyasachi opened its first showroom in the state of Kolkata. The owner and creator of the Sabyasachi label, Sabyasachi Mukherjee, brought true his dreams by years and years of hard work, perseverance, struggle, and determination. Today, the label stands at a position that he look anybody in the eye and say that he is a proud owner of India’s first luxury fashion house. Sabyasachi Mukherjee has been a pioneer in this industry, leading the Indian fashion for a long time. Without even a single doubt, his designs and efforts have been successful in creating a strong presence of his brand label not only in the country but also in an international domain.
Now, with this deal, Aditya Birla fashion Retail Limited (ABFRL) has become a 51% shareholder in Sabyasachi. It is expected that the company will complement Sabyasachi, one of the most preeminent and distinguished designers, to achieve his target of making his brand a worldwide luxury house. A name that extends its potency outside Indian borders as well. Over the next few years, the aim of the brand is to construct a fabled ethnic wear business with the support of one of the leading Indian Conglomerates- ABFRL (Aditya Birla fashion retail limited).
The revenue of the group of Aditya Birla in Financial Year 2019-20 stood at Rs 8,788 crores. It has rooted its presence in the Indian society by becoming the first billion-dollar pure-play fashion powerhouse in the Indian subcontinent with leading retail formats and fashion brands.
Mr Sabyasachi Mukherjee who is the Chief Executive Officer (CEO) and the founder of the brand Sabyasachi announced “Over the course of the last couple of years, as my brand evolved and matured, I began searching for the right partner in order to ensure continuity and long-term sustainable growth. I am honoured and excited to have found that partner in Mr. Kumar Mangalam Birla and ABFRL. Aligned in our vision, and committed to excellence, we will work together to grow a truly global luxury brand out of India.”
From the beginning of Sabyasachi, Mr Mukherjee decided to build a brand which focuses only on the business of fashion and explores the creative side of the same. Most of the people are attracted to this brand simply because it gives a stage to an influential and cultural voice of India by shaping the new and modern fashion designs and lifestyle while celebrating and rejoicing the artisanal craftsmanship of Indian roots and traditional techniques in each and every product it promotes.
Franchise of this brand is in its parent nation India and the United States, the United Kingdom and the Middle East. The brand provides us with goods and products from a number of categories such as accessories and jewellery along with its core segment of apparels.
One cannot deny that today Sabyasachi a solid foundation in the domestic retail markets of India. However, in the coming years, we expect more International franchises to come into existence as it plans onto steadfastly moving forward in becoming the first worldwide luxury house of fashionable apparels and accessories.
The managing director of Aditya Birla fashion retail limited, Ashish Dikshit, commented on the partnership of the company with the designer Sabyasachi by claiming that the young and confident generation of India is on the verge of re-discovering their traditional culture and heritage. In their process of bringing back the traditional craftsmanship, Sabyasachi plays its role by promoting the same via its ethnic apparels that now gain much-required youth attention and form a very important category. The brand has its excellence engrained in their traditional designs. New benchmarks have been set by unique craftsmanship and have also established a need for out of the box designs by new brands in the struggle to establish themselves. Aditya Birla has issued a statement saying that they see Sabyasachi occupying a major space in their ethnic portfolio. They also believe that this deal will support their goal of promoting “Aatmanirbhar Bharat” as well as encourage the tag- ‘Made in India’. In the near future, the conglomerate wishes to extend its services and products in the Value, premium and luxury segments of ethnic wear.
People like us can only wait and watch this unique story of Sabyasachi and ABFRL unfurl in the months to come as the two reputed brands come together giving a push to the excellence of Indian tradition.