Indian footwear and lifestyle brand RedTape is exploring a potential stake sale valued at nearly $510 million, as its founding promoters have reached out to global private equity firms Blackstone and KKR & Co, according to a Reuters report dated January 13.
Citing sources and a document reviewed by Reuters, the report said RedTape’s founders are considering selling a majority stake or even their entire holding, which is estimated to be worth close to $510 million based on current valuations.
EY appointed to run divestment process
As per Reuters, the Mirza family, which controls around 71.8% of RedTape, has appointed Ernst & Young (EY) as the exclusive financial adviser for the proposed transaction. EY has reached out to Blackstone and KKR to explore potential interest and is currently seeking non-binding indicative offers from prospective investors.
The report added that while some discussions are focused on a majority stake sale, the promoters may also consider selling their entire holding if the valuation and terms are favourable.
No official comments yet
According to Reuters, RedTape’s Managing Director Shuja Mirza and Chairman Rashid Ahmed Mirza did not respond to requests for comment. EY and KKR declined to comment on the development, while Blackstone did not respond to Reuters’ queries.
About RedTape
Founded in 1996, RedTape is a well-known Indian footwear and apparel brand, popular for its leather shoes, and has diversified into sneakers, clothing, wallets, and belts. The company operates over 600 retail stores across India and has an international presence spanning 14 countries, including the US, the UK, Australia, Europe, and West Asia.
Reuters reported that RedTape posted revenue growth of nearly 10% in FY25, though profitability declined slightly during the year.
Part of a larger trend
The potential RedTape stake sale highlights a broader trend of Indian family-owned consumer brands attracting global private equity interest, as overseas investors look to tap into India’s expanding retail and lifestyle market.
The divestment process is still at an early stage, and further developments are expected as discussions progress.
