Luggage company VIP's Piramal to sell 32% in Rs 1,800 crore deal

MUMBAI: Private equity major Multiples, stock market investor Aakash Bhansali, and CaratLane founder Mithun Sacheti, will acquire management control of luggage maker VIP Industries from promoter Dilip Piramal.

They will together buy 32 per cent of VIP from Dilip for Rs 1,763 crore and will also make an open offer to the company's public shareholders for another 26 per cent at Rs 1,438 crore. Dilip, the elder brother of Piramal Enterprises chairman Ajay Piramal, owned 52 per cent of VIP as of March 31. In 1980, he (now 75) took control of VIP after separating from the family business. After the deal, he will retain 17 per cent. Dilip said the younger generation in his family is not interested in managing the company, which has been losing market share over the past five years.