New Delhi, Jul 14 (PTI) Dilip Piramal and Family, the promoters of VIP Industries, will sell upto 32 per cent of their stake in the leading luggage and travel accessories maker, to Multiples, an Alternate Asset Management company.

The move will also trigger an open offer to acquire 26 per cent share from the open market, as per the SEBI Takeover Regulations by Multiples consortium.

Dilip Piramal and Family has entered into a "definitive agreement with the Multiples Consortium to sell up to 32 per cent stake in the Company," according to a joint statement issued by both the companies.

"Upon completion of the transaction, control of the company will be transferred to Multiples Private Equity while Dilip Piramal and Family will continue to be shareholders in the Company," the statement said.

Moreover, Dilip Piramal will be Chairman Emeritus of VIP Industries, it added.

Multiples consortium consists of - Multiples Private Equity Fund IV, Multiples Private Equity Gift Fund IV, Samvibhag Securities, Mithun Padam Sacheti, Siddhartha Sacheti and Profitex Shares and Securities.

Later, the VIP Industries also updated the exchanges about the open offer from the Multiples consortium, to acquire 3.70 crore shares of the company from its public shareholders.

"The Open Offer is made at a price of Rs 388/- per Offer Share, which has been determined in accordance with Regulations 8(2) of the SEBI (SAST) Regulations," it said.

Assuming full acceptance of the Open Offer, the total consideration payable by Multiples will be Rs 1,437.78 crore.

The open offer price is around 15 per cent lower than the closing price of VIP Industries on BSE on Friday, which was at Rs 456.40.

In the last one year, share prices of VIP Industries' highest trading price was on September 24, 2024 at Rs 580.6 and lowest on April 9, 2025 at Rs 259.7.

As on March 2025, the promoter and promoter entity were holding 51.73 per cent shareholding in VIP Industries.

"The transaction, including the open offer, is subject to approval of the Competition Commission of India and will be in accordance with the SEBI Takeover Regulations," the joint statement added.

Commenting on the development, VIP Chairman Dilip Piramal welcomed Multiples consortium as 'strategic partners' in the Company.

"This marks an important step toward reviving the company’s strong legacy and helping it regain its foothold in the Indian luggage market, where it has struggled in recent years,” he said.

Renuka Ramnath, Founder, MD and CEO of Multiples Alternate Asset Management said:" Multiples is excited to lead the ownership transition of the very strong legacy business of VIP and further build on its rich heritage and unlock its next phase of growth.” VIP Industries, which has a market capitalization of Rs 6,481.78 crore, competes with Samsonite and Safari Industries in the premium and mass segment.

The company, which owns brands such as Aristocrat, VIP, Carlton, Skybags and Caprese had over 50 per cent market share in the branded luggage market in FY24.

However, now the company is facing stiff competition from rivals and its market share is gradually reducing.

For the financial year ended on March 31, 2025, VIP Industries' revenue was at Rs 2,169.66 crore.

Started in 1971, VIP Industries is Asia’s largest and the world’s second largest luggage maker, which is headquartered in Mumbai. It has over 10,000 Points of Sale in 45 countries.

Multiples is an Alternate Asset Management company, backed over 30 enterprises. It focuses on core sectors of financial services, pharma & healthcare, consumer and technology and more recently the green economy. PTI KRH NB