Tommy Hilfiger brand or THG enters into a stake deal with the Arvind Murjani Brands or AMB, the amount paid for the deal has been kept a secret. As per the deal THG has bought 50% of the stakes of AMB.

The international clothing brand THG has taken this move, in order to increase its outlets in India. According to a revelation made by an anonymous person, THG had paid an amount of 400 crore to the India-based clothing company for the stake deal.

At present, the American clothing brand earns Rs 200 crore a year from the sales of its clothes in India. Around 30 cities in India hosts THG outlet, and with commencement of the deal, the company expects to expand their business in various other cities.

As per guidelines of the business deal, the American company will be buying the license of Murjani for the brand name of Tommy Hilfiger in India. Since 2004, AMB has been the sub-license holder of THG in India.

Mr. Fred Gehring, CEO of THG revealed that Indian market was highly important to them from business point of view. Also, MD Sanjay Lalbhai and CEO Arvind stated that: “This partnership gives us the license to retail every THG product”.