Goenka Group Ventures into Indian Luxury Apparel Market with Falguni Shane Peacock Stake
Following in the footsteps of major Indian conglomerates like Ambani's Reliance and Birla's Aditya Birla Group, the RP-Sanjiv Goenka Group (RPSG) has officially entered the burgeoning Indian luxury apparel market. This move was solidified through RPSG Ventures' recent approval of acquiring a 40% stake in FSP Design Private Limited, the company that owns the luxury fashion label Falguni Shane Peacock (FSP). The deal values FSP Design at over ₹455 crore.
Strategic Acquisition Details
RPSG Ventures, the venture capital arm of RP-Sanjiv Goenka Group, is making a strategic investment through a combination of primary infusion and secondary share buyouts from Falguni Peacock, Shane Peacock, and other existing shareholders. The entire payment will be in cash. Furthermore, RPSG Ventures has the option to increase its stake by an additional 10% within the next 18 to 24 months, signaling a potentially deeper partnership.
Falguni Shane Peacock: A Renowned Couture House
Founded by designers Falguni Peacock and Shane Peacock, FSP has become a well-recognized couture house in India. The brand is known for its signature craftsmanship and global appeal, counting international celebrities like Beyoncé, Jennifer Lopez, Katy Perry, and Rihanna among its clients. FSP operates through exclusive brand outlets, multi-brand luxury stores, and international online platforms.
Financial Performance and Market Presence
FSP Design has demonstrated consistent revenue growth in recent years. In FY25, the company's revenue from operations stood at ₹91.75 crore, a notable increase from ₹76.50 crore in FY24 and ₹68.50 crore in FY23. This growth is supported by sales across India and overseas.
RPSG's Rationale and Market Opportunity
For RPSG Ventures, this acquisition marks a strategic entry into a premium consumer category, diversifying its portfolio beyond its traditional focus on IT, business services, FMCG, sports, and real estate. The luxury fashion segment offers potentially high margins and aligns with the evolving spending habits of affluent Indian consumers. The Indian luxury apparel market is experiencing substantial growth, driven by rising disposable incomes and increasing brand consciousness. The market was valued at USD 7.50 Billion in 2024 and is projected to reach USD 10.70 Billion by 2033, exhibiting a CAGR of 3.60% during 2025-2033.
Strategic Benefits for Both Entities
The investment provides RPSG with a foothold in a segment driven by strong branding, global reach, and aspirational spending, all of which are expanding rapidly in India's growing luxury market. For FSP Design, the deal offers capital and scale advantages that can support broader retail expansion, brand-building initiatives, and a push into more global markets.
Industry Perspective
According to an industry analyst, this partnership carries a degree of risk, as luxury fashion is heavily reliant on brand perception, celebrity endorsements, and unpredictable consumer trends. However, if FSP Design sustains its momentum, the investment could yield attractive returns. The acquisition positions RPSG Ventures as a more diversified consumer-facing player and provides FSP Design with a stronger platform to accelerate its growth.
Statements from Leadership
Shashwat Goenka, vice-chairman of RPSG Group, stated that Falguni Shane Peacock reflects the emergence of a modern Indian luxury identity rooted in heritage yet global in its expression. Shivika Goenka, director-luxury and education, RP-Sanjiv Goenka Group, emphasized FSP's brand equity, authenticity, and creative depth, expressing pride in supporting the next phase of its growth. Falguni Peacock, co-founder and creative director, noted that the partnership marks a new chapter for the brand.
The entry of the Goenka Group into the luxury apparel market signifies the increasing attractiveness of this segment in India, driven by economic growth, changing consumer preferences, and the desire for both domestic and international luxury brands.
