PDS’ 51% acquisition of DBS Lifestyle is being described as a win-win for both organisations as DBS will gain patronage of the PDS platform to continue with its growth aspirations and PDS plans to use the deal to expand within India’s fashion and home categories.
As part of PDS acquiring DBS, PDS said it will invest 21cr (US$2.6m) in a new entity Pangram Brands Private Limited (Pangram Brands). The majority of the proceeds will be used for funding the growth plans of the company and to acquire the existing businesses of DBS.
PDS said DBS has a strong order book and is aspiring to significantly fast pace its growth so the business of the DBS group will be consolidated under Pangram Brands, which will be renamed DBS Lifestyle (India) Private Limited.
Investec India and Maple Capital Advisors acted as financial advisors for PDS and DBS respectively.
DBS serves over 200 fashion clients globally along with leading brands, retailers, and key e-commerce players in India. It also owns over 20,000 original textile designs and patterns and adds nearly 2,500 artworks and samples to its library every month. The company’s Trend & Design Studio plus Sourcing business verticals are said to offer end-to-end solutions from design, product development, and manufacturing to warehouse delivery.
DBS also creates private brands for leading online and offline retailers, including RIVER – a multidesigner brand for Amazon Fashion and owns Italian textile studio Giacomo Barzaghi.
The benefits of PDS acquiring 51% stake in DBS
PDS offers product development, sourcing, manufacturing, and distribution for major brands and retailers worldwide and the company’s vice chairman Pallak Seth said: “While DBS has already carved a niche for itself in both the domestic and international markets, we believe under the aegis of the PDS platform, DBS is poised to catapult into the next league.“
The company’s group CEO, Sanjay Jain, added: “India has been gaining tremendous traction in the global fashion space, both from a supply and demand standpoint. With this transaction, PDS augments its capabilities in India and further builds our design capabilities for servicing global customers. With DBS’s experience and insights into evolving fashion trends, our partnership will provide customers with quality products, exceptional design, and great value across fashion and home categories.”
DBS’ founder Bhawnish Suri, founder, DBS said: “Divya [Suria] and I founded DBS with an aim of creating a one-of-a-kind turnkey company offering customised design solutions. In our first phase, we have created a sturdy foundation for DBS, and this partnership will spur our next phase of growth.”
In 2020 PDS Group spoke exclusively to Just Style about its plans for future growth.