Amarchand JSA and SampR advise on PE investment in Genesis Luxury Fashion

Private equity fund, L Capital Asia sponsored by global luxury goods conglomerate LVMH group, has made its first investment in India by acquiring 25.5 percent stake in Sanjay Kapoor-promoted Genesis Luxury Fashion with an option to acquire additional stake in the next one to three years..The Mumbai office of Amarchand Mangaldas advised Genesis Luxury Fashion with a team led by Partner Tushar Mavani..The Mumbai office of J. Sagar Associates advised L Capital Asia with a team led by Partners Akshay Chudasama and Manisha Kumar along with Senior Associate Aditi Garg and Associate Roopal Kulsrestha..The Delhi office of S & R Associates advised the existing PE investor Henderson Equity Partners with a team led by Partner Rajat Sethi along with Venkatesh Vijayaraghavan and Radhika Iyer..Speaking on the transaction, Partner Akshay Chudasam of JSA in a statement said, “This is the first investment by L Capital Asia in India. This transaction was interesting because there were existing private equity investors in Genesis Colors Pvt. Ltd who had to be made a part of the discussions as the exit rights of such investors had to be aligned with the exit rights of L Capital Asia”..Genesis Luxury Fashion is a subsidiary of Genesis Colors Pvt. Ltd and is in the business of marketing and distribution global luxury brands such as Jimmy Choo, Canali, Paul Smith and Bottega Veneta in India. L Capital Asia and Genesis Luxury Fashion Pvt. Ltd are also in the process of setting up a joint venture company in the same field..According to VCCircle, Genesis Colors owns luxury fashion labels like Satya Paul and Bwitch!. The company raised Rs. 80 crore in private equity funding from Henderson Equity Partners in 2009 while its other backers include Sequoia Capital India, Mayfield Fund and Silicon Valley Bank..L Capital Asia has launched a $640 million fund earlier this year, targeting the fast-growing economies of China, South Asia and India. L Capital Asia will invest in consumer brands, lifestyle concepts, lifestyle food & beverage, beauty & wellness, boutique hospitality, media & entertainment and private education. L Capital also has funds sponsored by LVMH in markets like the USA and Europe, where it has invested in companies like Pepe Jeans and Princess Yachts.