Ras al Khaimah (UAE): Leading textiles manufacturer Mafatlal Industries has sold its defunct apparel brand Sungrace Mafatlal to Meuse Garb for an undisclosed amount, the Thane-based company said here. (Agencies)
Meuse Garb, promoted by hotel entrepreneur Kavya Amit Singh, has also tied-up with UAE-based apparel manufacturer Kara FZE to supply readymades, which will be sold under the brand of Kara & Sungrace Mafatlal 1906.
Meuse Garb expects to clock Rs 450 crore in revenue in the first year through this initiative, Singh, who runs a hotel property in Nashik, said.
"The retail garment sector is seeing an upward trend, despite a slowdown in other sectors. With the collaboration with Kara and the royalty deal for ten years with Mafatlal, we plan to target the small towns where the market is mostly unorganised, but huge in size at Rs 50,000 crore," Singh said.
"We expect to garner Rs 450 crore in sales revenue in the first year of operations," she added.
To get a significant presence in the retail market, Meuse Garb plans to introduce over 1,500 franchisee outlets, apart from five company outlets, she said.
"The brand will also be available at multi-brand outlets over a period of time. A systematic plan has been strategized to spread the network and reach our customers in these markets," Meuse Garb global chief executive Navin Pandey said.
He said nearly 83 per cent of retail garment business falls in the unorganised sector, of which around 40 per cent, or Rs 50,000 crore, is from small towns.
Initially, Meuse plans to introduce a range of men's and women's wear in the formal and casual categories, apart from dhoti-kurtas, safaris and night wear.
"We have noticed that demand for branded garments is increasing in small towns. To cash in on this opportunity, we have decided to enter these markets initially with an established brand like Mafatlal," he said.
Pande added that the clothes will be manufactured in Bangladesh. The company also has expansion plans in the UAE and US, he said.
Ras al Khaimah (UAE): Leading textiles manufacturer Mafatlal Industries has sold its defunct apparel brand Sungrace Mafatlal to Meuse Garb for an undisclosed amount, the Thane-based company said here.