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Indo Count acquires home brand WAMSUTTA to boost portfolio

EditorNatashya Angelica
Published 19/04/2024, 18:16
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NEW YORK - Indo Count Industries Limited, a prominent bed linen manufacturer and exporter from India, has announced the acquisition of the international home fashions brand WAMSUTTA from Beyond, Inc. (NYSE: BYON). The transaction, which was finalized on April 18, 2024, is set to enhance Indo Count's brand portfolio and solidify its presence in the premium market segment.

WAMSUTTA, known for its high-quality bed and bath products, brings a legacy dating back to 1846. The acquisition is expected to drive growth for the brand under Indo Count's leadership. Executive Vice Chairman Mohit Jain conveyed his optimism about the acquisition, emphasizing the opportunity to expand WAMSUTTA's reach and introduce its luxury offerings to a broader consumer base.

Indo Count plans to utilize its operational capabilities to amplify the brand's value proposition and to leverage WAMSUTTA's established brand equity in conjunction with Indo Count's global footprint. This move represents a key development in Indo Count's expansion strategy.

Indo Count Industries Ltd is recognized as a leading global home textile bed linen manufacturer with a significant international presence. The company boasts an annual capacity of 153 million meters and has received stable credit ratings from ICRA and CARE Ratings, reflecting its strong financial standing.

Beyond, Inc., the seller and a specialist in e-commerce, operates a portfolio of online shopping brands, including Overstock.com (NYSE:BYON) and Bed Bath & Beyond, among others. The company's focus is on connecting consumers with products and services that enhance the potential of their homes.

This acquisition is based on a press release statement and aims to provide a strategic advantage to Indo Count in the competitive home fashion market. The terms of the deal were not publicly disclosed.

InvestingPro Insights

In the wake of Beyond, Inc.'s (NYSE: BYON) recent divestiture of the WAMSUTTA brand to Indo Count Industries Limited, the financial metrics and market sentiment around BYON provide a critical backdrop to understand the context of the deal.

InvestingPro data indicates that BYON holds a market capitalization of approximately $1.05 billion USD and a negative price-to-earnings (P/E) ratio of -3.35, with an adjusted P/E ratio for the last twelve months as of Q4 2023 standing at -3.66. This suggests that the company has been operating at a loss, which is consistent with the lack of profitability over the past year.

Moreover, the stock has experienced significant volatility, as highlighted by a substantial six-month price total return of 43.34%, contrasted by a sharp one-month price total return decline of -32.19%. This could reflect investor reactions to company-specific events or broader market conditions.

One InvestingPro Tip indicates that the stock's Relative Strength Index (RSI) suggests it is currently in oversold territory, which may attract investors looking for potential rebounds. Moreover, it s noteworthy that while analysts do not anticipate BYON to be profitable this year, the company's balance sheet holds more cash than debt, which is a positive sign of financial stability.

For readers looking to delve deeper into BYON's financial health and future prospects, InvestingPro offers additional insights. There are currently 9 more InvestingPro Tips available for Beyond, Inc. at Investing.com/pro/BYON.

These tips could provide valuable information for making informed investment decisions. To access these insights, consider using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, providing a comprehensive analysis of BYON's financials and market performance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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