Garment Mantra Lifestyle Ltd (Erstwhile Junction Fabrics & Apparels Ltd) announced that the Company has successfully acquired 74% stake in Twenty Twenty Trading LLP, which operates the value retailing brand – “Price Mantra”.
The company has taken steps to consolidate its Group structure in its effort to maximize the benefits of an Integrated Textile player. As a step in that direction, earlier Garment Mantra has already acquired a stake of 83.80% in Jannat Fabrics and Apparels Private Limited.
Garment Mantra has acquired 74% stake in the Value Retailing arm – Twenty Twenty Trading LLP “Price Mantra” successfully, the company said in a release.
The management is in the process of making both the group companies as wholly owned subsidiaries and fully integrate the group operations in future. The acquired entity is having a unique retail model through the brand – ‘Price Mantra’, whereby they source the branded products especially garments and fashion accessories at a steep and huge discount to the MRP.
This unique model is likely to be a major growth driver as well as margin accretive for the Company. Moreover, the Company has now widened its product categories from garment to more varied product range like electronics, home appliances, fashion accessories, etc in its portfolio. Recently, the Company has entered into its first bulk order purchase worth of INR 110 Million, at a steep and huge discount to its MRP.
Commenting on the development, Prem Aggarwal, Chairman & Managing Director, said: “We at Garment Mantra are delighted to update our stakeholders about the acquisition of majority holding in Twenty Twenty Trading LLP – “Price Mantra”. This will strengthen our entire envisioned Integrated Model. With a vision to meet the brand aspirations of the Mass Indian Population, we have taken steps to emerge as one of the only organized Player into the Value Retailing. The essence of this retail business is based on our capability of sourcing bulk at a steep discount to MRP. Subsequently, we would be able to offer these products at highly competitive prices to our customers. We have widened our product portfolio from garments to electronics, home appliances and fashion accessories, which would help us to earn customer loyalty. We are expecting to make both the group companies as a wholly owned subsidiary in next few months. We are confident to derive substantial benefits from these acquisitions and register improved performance going forward.”
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