Multiples Consortium To Acquire Controlling Stake In VIP Industries
VIP Industries Limited has announced that its promoters, Dilip Piramal and family, have entered into a definitive agreement to sell up to a 32% stake in the company to the Multiples Consortium. The deal will trigger an open offer as per SEBI Takeover Regulations and will result in a change of control at VIP Industries.
Following the completion of the transaction, Multiples Private Equity will take over the management control of VIP Industries. However, the Piramal family will continue to hold a stake in the company, with Dilip Piramal transitioning to the role of Chairman Emeritus.
Commenting on the development, Dilip Piramal, Chairman of VIP Industries, said, “We are pleased to welcome Multiples consortium as strategic partners in the Company. This marks an important step toward reviving the company’s strong legacy and helping it regain its foothold in the Indian luggage market, where it has struggled in recent years.”
Renuka Ramnath, Founder, MD & CEO of Multiples Alternate Asset Management, added, “Multiples is excited to lead the ownership transition of the very strong legacy business of VIP and further build on its rich heritage and unlock its next phase of growth.”
The transaction, including the mandatory open offer, is subject to regulatory approvals, including clearance from the Competition Commission of India.
Arpwood Capital Private Limited acted as the exclusive financial advisor to the Sellers. JM Financial is managing the open offer. Legal counsel for the Sellers was provided by AZB & Partners, while Khaitan & Company advised Multiples, and Anagram Partners advised the consortium members of Multiples.
