Apparel April 2019 Apparel April 2019 issue | Page 28

MARKET WATCH
Van Heusen Launches
Women’s Athleisure Range
Amazon Looks to Buy
Stake in Future Coupons
Amazon wants to buy a stake in Future Coupons.
The aim is to ensure that the global online retailer
is in compliance with the amended foreign
ownership rules that bar e-commerce companies
from holding shares in entities selling on
their platforms.
Earlier in February, Future Retail announced
raising R2,000 crore through the issue of
warrants on a preferential basis from Future
Coupons. This would help structure the Amazon
deal. This was done primarily to raise funds
from Amazon in the promoter group company,
which will give it an eight per cent stake in Future
Retail through a combination of equity and debt
instruments, and adhere to the new rule.
Future Retail had approved the issuance and
allotment of 3.96 million warrants, convertible
into 3.96 million equity shares of R2 each at a
premium of R503 per share, to Future Coupons.
Each warrant is convertible into one equity share
and the conversion can be exercised at any time
during the period of 18 months from the date
of allotment. Future Retail controls about a third
of India’s organised food and grocery market
through the Big Bazaar and Nilgiris supermarket
chains. Physical stores account for more than
95 per cent of all retail sales in India.
22
I APPAREL I
April 2019
Van Heusen has launched inner wear and athleisure
for women. The women’s inner wear and athleisure
market in India is estimated at R16,000 crore and
is growing at 15 per cent year-on-year. Van Heusen
will expand this range to five or seven key markets
this fiscal. It has planned around 35-40 exclusive
business outlets for its inner wear this year and
expects to have 500 EBOs in the next three
to four years.
Perfect for boardrooms and beyond, Van
Heusen brings fashion-forward power dressing
to today’s multi-faceted professional’s wardrobe.
Catering to men and women, Van Heusen
represents sophisticated elegance that reflects
today’s expression of style. Breaking the norm of
conventional nine-to-five dressing, the brand focuses
on self-expression and individualism. With power-
packed details and fine fabrics, Van Heusen has
successfully defined the way women and men dress
for the corporate world. The collections range from
formal wear, party wear, casual wear and ceremonial
wear with ranges that spread across shirts to suits
for men, and dresses to blazers for women. Modern,
minimalist and timeless, the brand’s clothing is noted
for being relevant to its time.
Van Heusen’s sub-brand Van Heusen Sport
is a sport-inspired casual wear that is a perfect
amalgamation of modernity and the iconic ’60s Ivy
League look.
Fabindia Plans More Experience
Centers, Opens Store in the US
Fabindia will open its large store concept Experience Center in Tier
I and II cities in the coming financial year. As of now, the brand has
nine Experience Centers. The coming financial year will also see
the brand open a store in the US.
In total, ethnic clothing and lifestyle retailer Fabindia has 100 new
stores planned in India for the 2020 financial year. They will comprise
30 Experience Centers, 20 company-owned stores, and 50 franchise
outlets. The brand is also increasing omni-channel features across its
stores. Fabindia has now launched omni-channel technology in 110
stores. A further 50 stores will launch the offline to online features in the
coming six months. Although the brand is basically a brick-and-mortar
business, it is strengthening its e-commerce store. The brand also retails
from multi-brand e-commerce platforms such as Myntra and Amazon
but does not take part in deep discounting. Online sales currently only
contribute four per cent of the business’ total revenue. Fabindia has also
seen its fusion wear product line grow at a fast pace this financial year.
The line has grown by 17 per cent and, in order to harness this growth,
the business will continue to expand its offerings.