31 December 2025, Mumbai
In a major end-of-year consolidation, Arvind Fashions (AFL) has officially regained 100 per cent ownership of its homegrown denim powerhouse, Flying Machine. On December 29, 2025, AFL entered into a definitive share purchase agreement to acquire Flipkart India’s remaining 31.25 per cent stake in Arvind Youth Brands for Rs 135 crore. This move marks the conclusion of a high-stakes partnership initiated in 2020 when Flipkart (Walmart) invested Rs 260 crore to digitize the brand. By securing full autonomy, AFL aims to accelerate decision-making and integrate Flying Machine more deeply into its broader retail ecosystem, which currently boasts a robust 12–15 per cent revenue growth guidance for FY26.
Navigating the digital-first denim market
While Flying Machine’s revenue saw a marginal correction to Rs 432.16 crore in FY25 due to intense competition from global fast-fashion giants, the brand remains a digital leader. Under the leadership of newly appointed CEO Amisha Jain, AFL is moving towards a ‘premium-casual’ identity to capture the aspirational Indian middle class. The partnership with Flipkart helps transform Flying Machine from a traditional wholesale-heavy label into a digital-first icon. Moving into 2026, AFL plans to maintain its presence on Flipkart while aggressively expanding its direct-to-consumer (D2C) channels, which saw a staggering 67 per cent growth in the recent quarter.
This transaction reflects a broader trend of ‘reverse-integration’ in Indian retail, as legacy players seek total brand control ahead of predicted consumption tailwinds in H2FY26. While Flipkart’s exit is part of its internal portfolio rationalization ahead of a 2026 IPO, for Arvind, it simplifies a complex capital structure. ‘Gaining 100 per cent control allows us to be more agile in our market positioning, states Jain. With AFL targeting Rs 700 crore in footwear and adjacent sales by 2028, Flying Machine is expected to serve as the anchor for these lifestyle expansions.
Arvind Fashions is India's leading premier casualwear player, managing iconic brands like US Polo Assn, Arrow, and Flying Machine across 1,600+ stores. Founded as part of the century-old Arvind Group, it specializes in premium denim and high-performance lifestyle apparel.
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