BBTC to increase stake in Bombay Dyeing

The holding firm of the Wadia Group has decided to increase stake in Bombay Dyeing and Manufacturing Company (BDMC). The share price of the company increased 4.8 per cent and hit 52-week high at Rs 68.75 on an intraday basis. Its share price has risen by 16.92 per cent in last couple of trading sessions.

The finance committee of the board of directors of Bombay Burmah Trading Corporation (BBTC), holding group company of Wadia Group is to acquire additional shares in BDMC directly or through its wholly owned overseas subsidiary.

As of December 2016, Nusli Wadia-led promoter group's holding in the company stood at 53.69 per cent and BBTC held 14.35 per cent stake.

BDMC is aiming to have 10000 MBOs across India. The exclusive stores run by franchises will increase to 500 from 200 with its 30 company-owned outlets turning into experience centres by 2020. The company’s retail turnover is expected to touch Rs 1000 crore.

BDMC has earmarked more than Rs 100 crore to support the revamp of the brand and to communicate the changes to its consumers over the next four years. The company has begun investing in technology, talent and brands, and plans on spending the remaining on promotional activities and advertisements. It is also in the process of setting up its own e-commerce portal.