VIP Industries Begins New Chapter as Multiples PE Acquires 32% Stake

In a landmark move for India’s luggage industry, VIP Industries is set for a change in control as its promoters, Dilip Piramal and family, agreed to sell up to 32% of their stake to Multiples, an Alternate Asset Management firm.

The sale, part of a definitive agreement between the two parties, will trigger a mandatory open offer to public shareholders for an additional 26% stake, in line with SEBI’s takeover regulations. The open offer is priced at ₹388 per share — roughly 15% below VIP’s closing price of ₹456.40 on Friday — and could total ₹1,437.78 crore if fully subscribed.

Following the transaction, control of VIP Industries will shift to the Multiples-led consortium, though the Piramal family will retain a minority stake. Dilip Piramal will remain associated with the company as Chairman Emeritus.

“This marks an important step toward reviving the company’s strong legacy and helping it regain its foothold in the Indian luggage market,” said Piramal.

Multiples, led by Founder and CEO Renuka Ramnath, called VIP a “very strong legacy business” and expressed confidence in unlocking its next phase of growth.

The consortium includes Multiples Private Equity Fund IV, Multiples Gift Fund IV, Samvibhag Securities, Mithun Padam Sacheti, Siddhartha Sacheti, and Profitex Shares and Securities.

As of March 2025, the Piramal family held a 51.73% stake in VIP. The company reported revenue of ₹2,169.66 crore in FY25 and has a market cap of ₹6,481.78 crore. Its shares have seen highs of ₹580.60 and lows of ₹259.70 in the past year.

Founded in 1971 and headquartered in Mumbai, VIP Industries is Asia’s largest and the world’s second-largest luggage maker, owning brands like VIP, Carlton, Aristocrat, Skybags, and Caprese. Once holding over 50% market share, it now faces stiff competition from Samsonite and Safari.

The transaction is subject to approval from the Competition Commission of India.