Strategy Aditya Birla Fashion buys Jaypore for Rs 110 crore June 24, 2019June 24, 2019 Web Sources Aditya Birla Fashion and Retail Limited (ABFRL) has acquired Jaypore.com, an artisanal e-tailer for Rs 110 crore as the group enters a largely unorganised market of traditional and ethnic products. Established in 2012, Jaypore gets a bulk of its revenues by selling apparel, home textiles and accessories online. ABFRL,that has a network of over 2,700 stores plans to grow the brand largely through the physical format. “Ethnic wear is the largest segment in the Indian fashion apparel market. While ABFRL has built a diversified portfolio of brands across different segments, ethnic wear space is currently under-represented in our bouquet of offerings to consumers,” said Ashish Dikshit, managing director, ABFRL, owner of brands such as Louis Philippe, Van Heusen, Allen Solly and Peter England. The group expects to complete the deal to be completed within 30-45 days.In India, ethnic wear is the single biggest category in the women’s clothing segment with a share of 71%. Founded by Puneet Chawla, who was previously with consumer internet ventures such as Info Edge, redBus and Exclusively.in, and Shilpa Sharma, formerly with Fabindia, Jaypore has raised more than $8 million from investment firm Aavishkaar Venture Fund along with Haresh Chawla, partner at private equity firm True North.However, Jaypore had been struggling to mop up sales growth over the past three years – its sales at Rs 39 crore during FY19 was marginally lower than the preceding two years. ET, last month, reported that smaller investor driven online marketplaces such as ShopClues, Craftsvilla, Voonik, Wooplr and Elanic are shutting shop, pivoting their business models or opting for outright sale.“Jaypore is a brand with strong equity and with a differentiated offering of products based on Indian crafts. It provides a great platform for us to build a strong presence in the ethnic segment and in accessories and home segment,” added Dikshit.