Libas Consumer Products Limited to Acquire 51 Percent Equity Stake in LA Rambla Lifestyle Private Limited
Libas Consumer Products Limited has proposed the acquisition of a 51 percent equity stake in LA Rambla Lifestyle Private Limited, with the transaction structured across one or more tranches. The deal will be finalized subject to a Shareholders Agreement executed between Libas and the investee company.The acquisition represents a strategic move for Libas Consumer Products Limited, aiming to transition toward a highly diversified, multi-engine growth model. By integrating the capabilities of LA Rambla Lifestyle Private Limited, the Company intends to maximize long-term stakeholder wealth.
Target Company Details and Financial Overview
LA Rambla Lifestyle Private Limited was incorporated on March 15, 2018, in India. The company operates in the e-commerce business of handbags.Financial performance details for LA Rambla Lifestyle Private Limited across the last three years are provided below:
| Metric | 2024-25 (₹ in lakh) | 2023-24 (₹ in lakh) | 2022-23 (₹ in lakh) |
|---|---|---|---|
| Turnover | 136.66 | 76.12 | 485.71 |
| PAT | 7.81 | 0.06 | 0.64 |
| Networth | 19.88 | 12.07 | 11.94 |
Acquisition Structure and Cost
The proposed acquisition involves a cash consideration, with the investment amount determined based on valuation. The Board of Directors has authorized up to ₹ 1.5 crore for the 51 percent equity stake in one or more tranches.The deal structure is outlined by the following key details:
- Nature of Transaction: The acquisition will not fall under a related party transaction at the time of the deal, although post-acquisition, the investee company will become a subsidiary and a related party to Libas.
- Acquisition Cost: The investment limit set by the Board is up to ₹ 1.5 crore for the 51 percent equity stake across tranches.
- Timeline: The Indicative time period for completion of the acquisition will be as per the terms and conditions agreed upon in the Shareholders Agreement.
LA Rambla Lifestyle Private Limited, which specializes in the e-commerce business of handbags, has shown its financial figures over the past three years, with turnover recorded at ₹ 136.66 lakh in 2024-25.
LIBAS Stock Price Movement
Shares of Libas Consumer Products Limited slipped by 1.23% in trading today to settle at ₹12.06. The stock traded within a tight band of ₹11.71 and ₹12.58, with 18,302 shares changing hands during the session.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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