In a bid to raise Rs 250-300 crore, Raymond is reportedly planning to sell minority stake in its engineering subsidiary, JK Files, one of the largest producers of files in the world, with a 30 per cent global market share in cutting and precision tools business. In this regard, the company has appointed Avendus Capital to find a suitable investor.
Raymond will use proceeds from the stake sale to fund global buyouts, as well as expanding its manufacturing facilities.
JK Files, established as a division of Raymond in 1949, earns 60 per cent of its revenue from exports, in 70 countries worldwide. The company has launched a range of products in hand tools and the agricultural implements industry recently.
Raymond is one of India’s largest branded fabric and fashion retailers. It is one of the leading, integrated producers of suiting fabric in the world, with a capacity of producing 31 million meters of wool & wool-blended fabrics.