NEW DELHI: US-based footwear and lifestyle firm Skechers has bought out Kishore Biyani-led Future Group’s 49 per cent stake in its Indian joint venture (JV). While the two firms did not disclose the value of the deal, the amount is expected to be around Rs 600 crore.
With this acquisition, Skechers India has become a wholly-owned subsidiary of the American footwear major, which competes with the likes of Nike, Puma, Reebok and Adidas in India.
Skechers South Asia CEO Rahul Vira said this development would enable the company to amplify its growth plans, accelerate the expansion of its operations and build a stronger network to gain market share in India.
Skechers, which entered India in 2012, has been doubling its business with plans to add its own manufacturing units and newer categories.
“Few markets match the potential for growth of India, which is why we entered the market initially, and why we recently decided to purchase the minority stake in our joint venture,” Skechers Chief Operating Officer David Weinberg said in a statement.
Weinberg saw double-digit increases in wholesale and retail sales and an 80 per cent increase in pairs sold, reaching 2.7 million.