Latest news with #VIP
India.com
2 days ago
- Business
- India.com
I Regret Not Selling Earlier: Chairman Slams Management Over Missed Opportunity To Offload Company Stakes
New Delhi: Dilip Piramal, Chairman of VIP Industries, said on Monday that his family's younger generation isn't interested in running the business. This came right after the company told stock exchanges that promoter group entities are planning to sell a 32 percent stake to a group of private equity investors and others. 'We are a family-owned business, and the next generation is not very keen on running it,' Piramal told NDTV Profit. 'In all our 53 years of existence, VIP has been the market leader. But in the last five years, we have been losing market share. Last year, we reported losses in all four quarters," he said. VIP Industries, the well-known luggage maker, currently has a market capitalization of about Rs 6,830 crore, as per AngelOne. Over the last year, the stock's highest price was Rs 589.75 and its lowest was Rs 248.35. Speaking to CNBC, Piramal, who is 75, shared some regret about not selling the business when its share price peaked. 'Two years ago, the share price was Rs 700, market cap was Rs 10,000 crore, and we got an offer for that price. But my management at that time felt that in six months or in one year, the share price will go up by 50 percent... unfortunately, that hasn't happened,' Piramal told CNBC-TV18. Now, Piramal has sold a 32 percent stake in VIP Industries to Multiples, a private equity firm, along with Mithun Sancheti, Siddhartha Sancheti, and Samvibhag Securities. This marks the end of his 52 years as the company's leader. The stake is being bought for Rs 1,763 crore, valuing the shares at Rs 388 each, around 15 percent lower than VIP Industries' closing price on Friday, July 11. Piramal will still own a 20 percent stake in the company but won't be on the board anymore. Dilip Piramal has three daughters from two marriages. His first wife was Gita Piramal, whom he divorced in 2005. They have two daughters, Radhika and Aparna. Later in 2005, Dilip Piramal married Shalini Agarwal, and they have a daughter named Priyadarshini. Dilip is also the elder brother of Ajay Piramal. Ajay's son Anand Piramal is married to Mukesh Ambani's daughter, Isha Ambani. Mukesh Ambani is the chairman of Reliance Industries and the richest man in India.
NDTV
2 days ago
- Business
- NDTV
"Next Generation Not Very Keen On...": VIP's Dilip Piramal On Selling Stake In Rs 6,800 Crore Luggage Company
Dilip Piramal, Chairman of luggage company VIP Industries, has said that the younger generation of his family is not interested in managing the business. His remarks come a day after the company notified the stock exchanges that the promoter group entities plan to sell a 32% stake to a group of private equity investors and others. "We are a family-owned business, and the next generation is not very keen on running it," Mr Piramal told NDTV Profit on Monday, a day after the company informed stock exchanges of the significant divestment. VIP Industries is one of India's leading luggage manufacturers. Dilip Piramal has led the company for over five decades. Speaking to NDTV Profit, he said, "In all our 53 years of existence, VIP has been the market leader. But in the last five years, we have been losing market share. Last year, we reported losses in all four quarters." "The company is facing a lot of management problems, hence it's going to be a struggle for the first time. In 2-3 years, we should do well," the business tycoon added. VIP Industries has a market capitalisation of Rs 6,830 crore, according to financial services website AngelOne. Post the stake sale, Dilip Piramal and the group's shareholding in the company will come down to 19.73% from 51.73%. The sellers include Dilip Piramal and various entities forming part of the promoter group - Kemp and Company Ltd., DGP Securities Ltd., Kiddy Plast Ltd., Piramal Vibhuti Investments Ltd. and Alcon Finance & Investment Ltd. "For me, it's important to safeguard shareholder interests, which aligns with my own. The only viable path forward was to bring in a new management team with ownership interest," Mr Piramal said. He added that after several rounds of discussion, the company has found a private equity investor. "A private equity player suits us well, as their goal is to double or triple their investment in 2-3 years," he told the outlet. The businessman said that he is not looking to sell beyond a 32% stake. "I don't need the money. I need good value for my shares. The company is facing significant management issues, so the road ahead will be challenging initially," he said. However, he added that the company has "strong fundamentals and will turn around soon". "I urge investors to be patient. Management transition is not easy," he said. Mr Piramal also mentioned that someone from the family will continue to hold a seat on the board. Speaking on growth, he said, "International markets are a promising opportunity for us. We have the potential to become a multinational company. India is very well suited for the luggage industry."
News18
3 days ago
- Business
- News18
Bizman Sells Stake In Rs 6,800-Crore Company That Made Suitcases For A Generation Of Indians
Last Updated: Dilip Piramal sold his controlling stake in VIP Industries, a ₹6,800-crore luggage giant, to private equity investors. He will retain a 20% stake. Dilip Piramal, the businessman behind the company that made suitcases for a generation of Indians, sold his controlling stake in VIP Industries- a ₹6,800-crore luggage giant he led for over five decades. He said that the younger generation of his family is not interested in managing the business as the company's promoter group prepares to offload a 32% stake to a group of private equity investors and others. 'We are a family-owned business, and the next generation is not very keen on running it," Dilip Piramal said, a day after the company informed stock exchanges of the significant divestment. The move marks a turning point for VIP Industries, one of India's leading luggage manufacturers. Dilip Piramal, who has led the company for over five decades, will step away from the board and will retain a 20% stake but will no longer be involved in operations or governance. According to a report by CNBC-TV18, the 75-year-old expressed regret over not exiting earlier, when the company's valuation was higher. He said, 'Two years ago, the share price was ₹700, market cap was ₹10,000 crore, and we got an offer for that price. But my management at that time felt that in six months or in one year, the share price will go up by 50%… unfortunately, that hasn't happened." The 32% stake is being sold to private equity firm Multiples, along with investors Mithun Sancheti, Siddhartha Sancheti and Samvibhag Securities. The transaction, valued at ₹1,763 crore, prices the shares at ₹388 apiece- roughly 15% below the stock's closing price on July 11. VIP's Market Performance VIP Industries, which has a current market capitalization of ₹6,830 crore, has faced challenges in recent years. Over the last 52 weeks, the company's stock has fluctuated between a high of ₹589.75 and a low of ₹248.35. Dilip Piramal said, 'In all our 53 years of existence, VIP has been the market leader. But in the last five years, we have been losing market share. Last year, we reported losses in all four quarters." Dilip Piramal has three daughters from two marriages. He was first married to Gita Piramal, with whom he had two daughters- Radhika and Aparna- before the couple divorced in 2005. Later that year, he married Shalini Agarwal and the couple have a daughter named Priyadarshini. Dilip Piramal is the elder brother of industrialist Ajay Piramal. His nephew Anand Piramal is married to Isha Ambani, daughter of Reliance Industries Chairman Mukesh Ambani. view comments First Published: July 17, 2025, 17:27 IST Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
India.com
4 days ago
- Business
- India.com
Who is Deepak Piramal? Mukesh Ambani's relative forced to sell famous business of…, no one ready to handle Rs 6,800 crore company because…
VIP owner Dilip Piramal had left his family business to build India's largest luggage brand, VIP Industries. It is now valued at Rs 6,800 crore. Mukesh Ambani's relative Dilip Piramal is now going to sell a stake in VIP. Who is Dilip Piramal? What do his children do? VIP Industries Journey For decades, VIPs have been named in the Indian household as luggage in India. Despite the arrival of numerous brands, VIP retained its identity during the 1980s and 90s. During this time its suitcases and trolleys dominated the market. Operating under the tagline 'Yesterday, Today, and Tomorrow,' VIP Industries is now going to go through a major change. A 32% stake in the company is up for sale. Why Is VIP Being Sold? Dilip Piramal, the owner of VIP Industries, is set to sell his 32% stake, valued at around Rs 1,763 crore. This is the company he founded after separating from the Piramal family business. At 75, Piramal says his family has no interest in running the company, and at this age he is unable to give full time attention to the business as per its demand. No Heir To Carry Legacy Dilip Piramal's next generation has no desire to take charge of VIP Industries. Over the past five years, the company's market share and sales have declined, partly due to this lack of active leadership. Rather than watch the company struggle, Piramal wants it to be taken over by someone who can ensure its continuity. After the sale, he will retain just 17% ownership in VIP. Who Are Dilip Piramal's Family Members? Piramal's personal life has also been in the spotlight. He has been married twice and has three daughters, but none are interested in managing the business. His first wife, Gita Piramal, is a well-known author. They married in 1975 and have two daughters named Radhika and Aparna. Dilip and Gita divorced in 2005. Radhika identifies herself as lesbian, and lives in London with her wife. She has been associated with VIP Industries since 2010 as a Managing Editor. Aparna reportedly suffers from bipolar disorder. His second wife, Shalini Agarwal, and Dilip have a daughter named Priyadarshini. Despite their success and privilege, none of the daughters have shown interest in continuing the family business and that is the main reason behind Dilip Piramal's decision to sell it Who Is Buying VIP? According to media reports, the interested buyers include Multiples Private Equity, Aakash Bhansali, a well-known stock investor and Mithun Sacheti, founder of CaratLane Dilip Piramal Connection With Mukesh Ambani Dilip Piramal is the elder brother of Ajay Piramal, chairman of Piramal Enterprises. Ajay's son Anand Piramal is married to Isha Ambani, the only daughter of Mukesh Ambani making Dilip Piramal Mukesh Ambani's samdhi (in-law). Dilip Piramal was established VIP Industries Ltd in 1968, focusing on the manufacturing and sales of luggage, backpacks, and handbags. Today, VIP products are available in over 45 countries and across 8,000 retail stores in India. The company has a market capitalization of Rs 6,800 crore, and Dilip Piramal's personal net worth is more than Rs 4,000 crore.
Hans India
4 days ago
- Politics
- Hans India
Bihar SIR: VIP chief clarifies over ‘house burning threat' to BLOs, pitches for one-month bonus
Patna: The Vikassheel Insaan Party (VIP) chief Mukesh Sahani on Wednesday clarified his threatening remarks of violence at the houses of Booth Level Officers (BLOs), and stated that his statement has been taken out of context. He went a step further, urging the Centre and state governments to 'reward' the BLOs with a bonus for putting in extra hours, a remark showing his U-turn from his previous 'provocative' stand. The VIP chief, speaking to IANS, stated that the residents of Bihar are serious and sensitive about their right to vote, and if they are denied voting rights after the voter verification drive and publication of new electoral rolls, this may lead to a precarious situation. 'Since BLOs remain at the forefront of the distribution, collection and uploading of enumeration forms on the ECI (Election Commission of India) portal, it is they who will face the brunt of people's anger. People will confront the BLOs and not the higher officers, and this may lead to a situation where things go out of control,' he explained. Mukesh Sahani, who previously served as minister in the Bihar government, also came down heavily on the ECI's Special Intensive Revision (SIR) and stated that the entire procedure was faulty and defective. He said that such an intensive drive isn't possible in a short period. Questioning the timing of 'SIR', he said, 'This should have been conducted either before the Lok Sabha polls or after the upcoming Assembly elections. What kind of message is EC giving by introducing such an extensive campaign in such a short time?' 'Were the Lok Sabha elections inappropriate? Should the elected MPs be disqualified because of faulty voter ID cards?' he asked. He claimed that the BLOs are working under intense pressure and are stretching for long hours, and this calls for enhanced enumeration and a one-month bonus for them. A day ago, his remarks stirred major political uproar in Bihar, with many parties, including the BJP and JD(U), denouncing his remarks as 'provocative and inflammatory'. A Bihar BJP leader said that VIP remains a non-player in the state's political arena and hence it was resorting to such stunts to grab public attention, while JD(U) called it an after-effect of the alliance partner (read RJD). The VIP chief's comments that sparked furore read, 'If people are deprived of their voting rights, this will create widespread chaos and spiral out of control, even the Election Commission would find it difficult to contain. Those facing the brunt of this unjust and discriminatory policy will storm the houses of BLOs and even go to the extent of torching them. And, for all this, EC will be accountable.'
