RAJAT GHOSH FOR FORBESW
hen Punit Lalbhai—ith generation of a
storied textile family from the western
Indian city of Ahmedabad—spearheaded
a new division within the clan’s Arvind
Ltd. in 2009, he wasn’t thinking of shirts
and trousers. He envisioned a range of “technical textiles” from
ire-protection gear to industrial safety garments to combat
clothing. Also on the roster: “glass” fabrics that are used in
surboards, rotor blades, wind turbines and the interiors of
metro trains.
“We are pivoting very fast toward becoming a technology
company rather than being a traditional textiles company,”
says Punit, 36, who joined the company in 2007 and is now an
executive director. “We are writing the specs and creating this
market for advanced materials in India. his will eventually be
a multibillion-dollar industry.”
he $1.7 billion (iscal 2017 revenues) Arvind group—
spanning the gamut from textiles to real estate to retail—is
also incubating a host of other ventures led by Punit and his
younger brother Kulin. hey include technical textiles, water
treatment, cotton cultivation and e-commerce. “We have many
businesses that we’ve nurtured over the years,” says Sanjay
Lalbhai, the 64-year-old patriarch, who chairs Arvind. “Once
they become inancially strong and generate their own cashlows they’ll be allowed to go their own way.”
One such restructuring is under way—splitting Arvind into
three entities encompassing textiles, branded clothes and heavy
engineering. he revamp also clariies the role of the next-gen
leaders. “hese two guys are the succession,” says Lalbhai, who
has a $680 million stake in the lagship and in real estate player
Arvind Smartspaces. “hey’ll each take the lead on a few busi-
nesses. But the wealth is shared.”
While Punit oversees the nearly $1 billion (iscal 2017 rev-
enues) textile arm along with some incubated businesses like
advanced materials, water and agriculture, Kulin is handling
the $447 million (revenues) consumer brands arm along with
businesses like retail, real estate and telecom.
Father and the two sons are looking to double group rev-
enues by 2022. he road map includes a garment operation in
Ethiopia—which allows duty-free access to the U.S., Europe
and China. Back home they’re looking to add similar plants in
Andhra Pradesh and Jharkhand. Over the next ive years, the
group hopes to convert 40% to 50% of the fabric that it pro-
duces into clothing—compared with just 10% now.
Arvind is also looking to use sustainability as a diferentia-
tor, leaning on Punit’s background. With an undergrad degree
in conservation biology from the University of California,
Davis and a master’s in environmental science at Yale, he’s22 | FORBES ASIA MAY 2018FORBES ASIA
THE LALBHAISTextiles and More
The Lalbhais of India are putting new spins on their 121-year-old threads trade.
BY ANURADHA RAGHUNATHANA GENERATION EMERGES