Arvind forays into suits biz

Textiles and apparels company Arvind on Wednesday announced formal launch of its suit manufacturing business through its joint venture with Japanese firm Goodhill at Bangalore.

Arvind Goodhill Suit Manufacturing said that it is looking at Rs 100 crore revenues from the first year of operations.

The 51:49 joint venture (51 per cent by Arvind) entailing an investment of Rs 40 crore is split equally into debt and equity and employs about 1,000 people.

At a press conference here, Executive Director of Arvind, Kulin Lalbhai said, “The venture marks our entry into the suit-making segment and will support our customised clothing business ambition.” He estimated the branded customised clothing market at $1 billion annually.

The facility that currently makes men's suits would also look at making women's suits in the future, he added.

On Arvind's topline growth, he said that the company's cumulative growth in the first three quarters during the current financial year was about 25 per cent (year-on-year) and full year turnover is likely to be about $1 billion.

Arvind had reported Rs 3,554 crore operational revenues for the first nine months of 2013-14 as against Rs 2,834 crore in the corresponding period of 2012-13.

Arvind said that it also plans to set up knitwear unit in Chitradurga and shirting unit in Arsikere (Hassan).