Mukesh Ambani-controlled Reliance Retail said on Sunday evening it is acquiring a majority stake of 89% in direct-to-consumer brand Clovia for $125 million as the largest Indian retail chain looks to expand its footprints in the apparel and innerwear categories.
Eight-year-old Clovia, which operates a “bridge-to-premium D2C brand” and sells over 3,500 products across innerwear and loungewear categories for millennial women, had raised about $25.8 million prior to Sunday’s announcement, according to insight platform Tracxn. Clovia’s parent firm Purple Panda Fashions was valued at about $43 million in its most recent funding round in December 2020.
“Clovia is excited to become a part of the Reliance Retail family,” said Pankaj Vermani, founder and chief executive of Clovia, in a statement.
“Through this partnership, we will benefit from Reliance’s scale and retail expertise, extending the presence of the brand and bring together stronger value proposition through world class quality, design and fashion in the intimate wear category. We look forward to making Clovia the most loved brand in this category.”
Reliance Retail, which has acquired online lingerie brands Zivame and Amante in recent years, said its $125 million investment in Clovia includes some secondary stake purchase.
“Reliance has always been at the forefront of enhancing choices and offering the best value proposition to consumers,” said Isha Ambani, director of Reliance Retail Ventures, in a statement.
“We are pleased to add style, quality and design-led intimate wear brand ‘Clovia’ to our portfolio. We look forward to working with the strong management team at Clovia to take the business to greater heights,” she added.