CCI approves Multiples Equity and consortium to acquire stake in VIP Industries

CCI approves Multiples Equity and consortium to acquire stake in VIP Industries

The open offer is to acquire 26 percent share from the open market, as per SEBI’s regulations

The Competition Commission of India (CCI) has consented to a group of investors led by Multiples Equity to acquire a stake in the luggage and travel accessories maker, VIP Industries.

Recently, Mumbai-based VIP Industries promoters, Dilip Piramal and family, announced the sale of up to 32 percent of their stake in the company to a consortium led by Multiples Equity, an alternative asset management company (AMC).

The fair trade regulator stated, “The proposed combination comprises Multiples Private Equity Fund IV (MPEF), Multiples Private Equity Gift Fund IV (MPGF), Samvibhag Securities, Caratlane founder Mithun Padam Sacheti, and his brother, Siddhartha Sacheti.

While Multiples deals in financial services, pharma and healthcare, consumer and technology, and Samvibhag Securities is a portfolio company of ace investor Akash Bhanshali.

The stake sale has an open offer to acquire 26 percent share from the open market, as per the takeover regulations of the Securities and Exchange Board of India (SEBI).

After the completion of the transaction, the company’s control will be transferred to Multiples Private Equity, while Piramal will be Chairman Emeritus of VIP Industries, and the family will continue to be shareholders in the company.

After the acceptance of the open offer, the total payable by Multiples will be Rs.1,437.78 crores. Until June 2025, the promoter and promoter entities owned a 51.73 percent shareholding in VIP Industries.

With a market capitalisation of Rs.5,877.49 crore, VIP Industries competes with Samsonite and Safari Industries in the premium and mass segment. It owns brands such as Aristocrat, VIP, Carlton, Skybags, and Caprese. In FY 2024, it had over 50 percent market share in the branded luggage market.