The introduction of Khadi goes back a long way in Indian history, but the love for the traditional wear associated with the Khadi handloom has stuck around forever in our minds, and it continues to grow in significance with each passing day. One of the most significant brands responsible for this is FabIndia.
FabIndia was William Bissell’s father’s brainchild and has grown into one of the most synonymous names associated with handloom and artisan design in the country. The company was founded way back in 1960, but the brand has managed to grow from strength to strength over the years, thanks to its consistent modernization of retail practices and adaptive cloth designs.
Having made a name for themselves due to their strict adherence to indigenous raw materials, and contemporary ethnic wear, FabIndia has carved out quite a comfortable niche for itself in the premium section within the branded apparel market.
In January 2022, FabIndia received approval from SEBI to go ahead with their proposed IPO of INR 4000 crore, based on a valuation of INR 20,000 crore. FabIndia has declared that some of their promoters have promised to reward the artisans and farmers who have been associated with them over the years with equity shares, as a token of gratitude.
The IPO will allow FabIndia to compete with the likes of Shoppers Stop, Aditya Birla Fashion & Retail, and other listed peers. While this makes things exciting for the future of the company, one must also keep in mind that the growth of a company is not determined by brand value and customer base alone. With this IPO, FabIndia will be going up against a lot of big names in the market, as well as some of the D2C giants who have lesser overhead costs to worry about. In such a scenario, the next few steps taken by FabIndia in terms of dynamic pricing and branding will determine its future.