VIP Industries promoters to sell 32% stake in co to Multiples PE, 3 others

Promoter group entities of VIP Industries have agreed to sell 32 per cent stake in the luggage company to Multiples PE firm and three others, according to an exchange filing by the company.

Kemp & Co, DGP Securities, Piramal Vibhuti Investments, Alcon Finance and Kiddy Plast, forming part of the promoter group, have agreed to sell up to 4.54 crore shares of the company to Multiples PE, Samvibhag Securities, Mithun Padam Sancheti and Siddhartha Sancheti.

Certain of the buyers will also be making an open offer to acquire an additional 26 per cent stake in the luggage company and post the acquisition they will acquire management and control of VIP Industries, the filing said.

The financial details of the transaction was not disclosed in the initial filing to the exchanges.

According to exchange data DGP Securities held around 27 per cent stake in VIP Industries at the end of March, Vibhuti Investments held 15.7 per cent, while Kemp & Company had 2.4 per cent stake, Kiddy Plast 2.3 per cent and Alcon Finance around 2 per cent.

Promoter Dilip Piramal held a small stake of 0.5 per cent.

The acquirers will have the right to nominate the majority of directors to the board and DGP shall have the right to recommend to the nomination and remuneration committee of the company, eligible candidates for appointment of 1 independent director or nominate his wife or 1 of his lineal descendants for appointment as 1 non-independent non-executive director.

Promoter group entities and DGP shall have a tag along right in the event the purchasers propose to sell any securities held by them to a third party through a negotiated trade pursuant to which the third party would be obliged to make a mandatory open offer.

Published on July 13, 2025