In a significant move within India's retail fashion sector, Arvind Fashions Ltd (AFL) has announced the complete acquisition of the Flipkart group's stake in its youth-focused subsidiary. The deal, valued at ₹135 crore, will see AFL take full ownership of Arvind Youth Brands Pvt Ltd (AYBPL), the company behind the popular 'Flying Machine' apparel brand.
Details of the Strategic Acquisition
The transaction involves AFL purchasing Flipkart's 31.25% stake in AYBPL. This stake comprises 1 equity share and 58,95,852 compulsory convertible preference shares (CCPS). The company has set December 29, 2025, as the expected closing date for the deal. Post-completion, AYBPL will transition into a wholly-owned subsidiary of Arvind Fashions Ltd.
Arvind Youth Brands has demonstrated strong financial performance, reporting a turnover of ₹432.16 crore for the financial year that ended on March 31, 2025. The company operates in the wholesale and retail segment, exclusively marketing apparel and accessories under the 'Flying Machine' label.
Flipkart's Role in Brand Revival and Future Roadmap
In regulatory filings, AFL highlighted the pivotal role played by the partnership with the Flipkart group over the past five years. The collaboration was instrumental in re-establishing Flying Machine as a top casual wear brand on digital platforms. It successfully catered to India's fashion-conscious youth, leveraging Flipkart's extensive online reach.
Despite the change in ownership, the consumer experience will remain seamless. Amisha Jain, Managing Director & CEO of Arvind Fashions Ltd, assured that the brand's relationship with Flipkart will continue. "Consumers can still shop Flying Machine on its platforms," Jain stated. She further emphasized that the brand would maintain its presence across other digital channels and portals, ensuring wide accessibility.
Consolidation and Market Implications
This acquisition marks a strategic consolidation for Arvind Fashions, bringing the entire operations and brand equity of Flying Machine directly under its control. The move allows AFL to streamline decision-making and potentially accelerate the brand's growth strategy across all sales channels, both online and offline.
The deal underscores the evolving dynamics between large Indian fashion houses and major e-commerce platforms. While Flipkart's early investment and partnership helped scale the brand digitally, AFL is now positioning itself to steer the next phase of Flying Machine's expansion independently.
