24 Feb 2021
Investcorp, a leading global provider and manager of alternative investment products, announced today that it has agreed to invest US $10.36 MN (~INR 75 CR) in Safari Industries (India), one of the largest luggage and bag companies. The transaction is subject to shareholders and regulatory approvals.
Safari Industries is India’s third largest and fastest growing luggage brand. Safari is led by Sudhir Jatia, CEO & Managing Director, Safari Industries. Incorporated in 1974, Safari Industries was acquired by Sudhir Jatia in 2012. Since the acquisition, Safari Industries has grown at a pace faster than the industry and other competitors.
Gaurav Sharma, Head of Private Equity, Investcorp India said, “Safari Industries has developed a unique portfolio of quality- driven affordable products and enjoys a strong recall in India. This investment, if approved, aligns with our thesis of targeting unique businesses in India’s mass consumption market. We see a strong opportunity in this space and look forward to hopefully working with the leadership team and supporting them in the next phase of their growth.”
Speaking about the investment Anshuman Goenka, Director Private Equity, Investcorp India said, “We are excited about the prospects for Safari that has grown very quickly and has a lot of room for expansion in the market. It has a mix of strong leadership and business fundamentals that in our view makes Safari Industries a contender for a market leadership position in the future.”
Sudhir Jatia, CEO & Managing Director, Safari Industries commented, “We are delighted to welcome Investcorp into Safari and hope to get shareholder approvals to close the transaction in March 2021.”
In India, Investcorp is an active investor in mid-market companies across consumption-linked sectors and in the real estate business. In the private equity space, Investcorp targets opportunities across the consumer tech, healthcare, financial services and technology sector. The investment in Safari Industries, if approved, will represent Investcorp’s 11th investment in India over the last four years, with previous investments including: Intergrow Brands, Bewakoof.com, Freshtohome, Zolo, InCred, Citykart, ASG, NephroPlus, Unilog and XpressBees. The focus is on targeting first-generation entrepreneurs scaling up businesses with asset-light models and proven unit economics.