V-Mart Retail Ltd. (V-Mart), India’s leading value fashion retailer, has signed definitive agreements to acquire all of existing running stores of ‘Unlimited’ from Arvind Lifestyle Brands Ltd (ALBL), a wholly owned subsidiary of Arvind Fashions Ltd (AFL) for cash consideration.

Unlimited operates a chain of 74 value fashion retail stores across South and West India and retails fashion apparel and accessories for men, women and children at affordable prices.

As part of the transaction, V-Mart will acquire the assets of all stores, warehouse, inventory as well as the store brand ‘Unlimited’at their book value, with an estimated outlay of about Rs 150 Cr at closing, and certain contingent payments based on certain milestones achieved in these stores over next few years, post the acquisition.

Through this development, V-Mart will be debuting into South India and helping customers meet their fashion aspirations through its vast array of quality products at affordable prices. The move also fits well with V-Mart’s cluster-based expansion strategy and dramatically shortens the time-span required for geographical expansion of this scale in a new big market.

Commenting on the transaction, Lalit Agarwal, Chairman & Managing Director of V-Mart Retail Ltd said, “.V-Mart is one of the strongest players in northern & eastern India and is a leading value retail player for the masses in the fashion segment, primarily operating in Tier 2, 3 cities. We have always believed in cluster philosophy and as we were not present in the southern India & as being the focused value retailer we can strive to do better- this has compelled & motivated us to grab this opportunity.