Aditya Birla increases stake in Wrogn to 33% with an investment of Rs 75 Cr
Aditya Birla Fashion is looking to strengthen its portfolio of digital-first brands with additional investments in Wrogn.
Aditya Birla Fashion and Retail has increased its stake in Wrogn from the existing 17.10% to 32.84% with an investment of Rs 75 crore, it said in an exchange filing on Wednesday.
The investment was made through the company’s wholly-owned subsidiary, Aditya Birla Digital Fashion Ventures Limited (ABDFVL), as the company focused on expanding ABDFVL's portfolio of digital-first brands.
It had executed a binding offer letter with Universal Sportsbiz Private Limited, which operates Wrogn in June for a minority investment with an option for a path to majority stake acquisition in USP.
Virat Kohli-backed Wrogn pared its revenue by about 30% in FY24 to Rs 243 crore. It clocked Rs 344 crore in 2023 and Rs 336 crore in FY22.
This comes after TMRW House of Brands, Aditya Birla Group Venture’s fashion brands aggregator, earlier announced the expansion of its portfolio with a Rs 125 crore investment in Accel-backed Wrogn over the next year. TMRW also has brands like The Indian Garage Co, Bewakoof, and Nobero in its portfolio.
“Apart from strengthening its leadership position on fashion platforms like Myntra, this partnership will help expand its offline footprint while providing impetus to scaling up the D2C business. With TMRW’s investment and capabilities, WROGN has a path to become the leading brand in the men's casual and activewear category with a path to Rs 1,500 crore in the next 5 years,” Aditya Birla Group stated in a press release.
Shares of Aditya Birla Fashion Retail were trading 2.68% lower at Rs 334.25 on NSE at noon.
Edited by Affirunisa Kankudti