Investcorp To Invest $10.36 Mn In Safari Industries

This investment will be utilized in targeting unique businesses in India's mass consumption market

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Bahrain-based global provider and manager of alternative investment products Investcorp announced on Wednesday that it has agreed to invest $10.36 million in India-based luggage and bag company Safari Industries. The transaction is subject to shareholders and regulatory approvals.

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“Safari Industries has developed a unique portfolio of quality-driven affordable products and enjoys a strong recall in India. This investment, if approved, aligns with our thesis of targeting unique businesses in India's mass consumption market. We see a strong opportunity in this space and look forward to hopefully working with the leadership team and supporting them in the next phase of their growth,” said Gaurav Sharma, head of private equity, Investcorp India.

Incorporated in 1974, Safari Industries was acquired by Sudhir Jatia in 2012. Since the acquisition, Safari Industries has grown at a pace faster than the industry and other competitors.

“We are delighted to welcome Investcorp into Safari and hope to get shareholder approvals to close the transaction in March 2021,” commented Sudhir Jatia, chief executive officer and managing director, Safari Industries.

In India, Investcorp is an active investor in mid-market companies across consumption-linked sectors and in the real estate business. In the private equity space, Investcorp targets opportunities across the consumer tech, healthcare, financial services, and technology sector.

The investment in Safari Industries, if approved, will represent Investcorp’s 11th investment in India over the last four years, with previous investments including Intergrow Brands, Bewakoof.com, Freshtohome, Zolo, InCred, Citykart, ASG, NephroPlus, Unilog, and XpressBees.

“We are excited about the prospects for Safari that has grown very quickly and has a lot of room for expansion in the market. It has a mix of strong leadership and business fundamentals that in our view makes Safari Industries a contender for a market leadership position in the future,” added Anshuman Goenka, director of private equity, Investcorp India.

As of December 31, 2020, Investcorp Group had $35 billion in total AUM, including assets managed by third-party managers, and employed approximately 430 people from 43 nationalities globally across its offices.