Online to offline, it is. The AV Birla Group has entered the retail segment by buying 90% of Hyderabad based Trinethra Super Retail, which also owns online retailer Fabmall. The AV Birla Group has bought Trinethra from private equity firm Indian Value Fund, managed by GW Capital Pvt. Ltd. The financial details of the deal remain undisclosed, but India Value Fund retains 10% stake in Trinethra. [Sources: ET and TOI]
Fabmall.com has recently been rebranded as Indiaplaza.in (does that have anything to do with the acquisition?), and powers shopping sites for NDTV, Malayala Manorama and others.
The Trinethra group has revenues of Rs.250 crores, and 172 outlets in Andhra Pradesh, Kerala, Karnataka and Tamil Nadu. In 2004, the India Value Fund had acquired a controlling stake in the Trinethra-Fabmall combined entity by investing Rs.27 crore, buying out ICICI Ventures’ stake for Rs.17.5 crore.
Update: I just spoke to K. Vaitheeswaran, COO of Fabmall.com, and he informs us that the online business has not been acquired by the AV Birla Group. We’re expecting an official statement confirming the same, shortly. Credit due to reader Chetan Patil for the information.
– Fabmall Joins Hands With Malayala Manorama To Launch E-Shopping Site
– Trinethra acquires grocery retail chain Fabmall
– Sept 2006: Kamla Bhatt Interviews K. Vaitheeswaran of Fabmall – Part 1, Part 2 (audio)