"Funds managed by Blackstone have invested Rs 1,750 crore (including by way of debentures) in Ryka Commercial Ventures, the holding company of FLFL," the company said.
It further added that: "With this transaction, Blackstone will be the only financial partner in Ryka. As a part of the transaction, Blackstone has also acquired a 6 per cent stake in FLFL through a block deal with Ryka."
"FLFL and the Future Group are expected to benefit from Blackstone's portfolio operations team to create value in its business," the statement said.
The fund would be utilised to "retire/pre-retire" all existing financial obligations of Ryka.
"We have been impressed with the business that Kishore Biyani has built at Future Group and are delighted to support Future Group in this journey," Kishore Moorjani, Head of Blackstone Tactical Opportunities, Asia said.
FLFL is an integrated branded fashion company and operates in-house retail chains like Central, Brand Factory and Planet Sports along with a portfolio of 20 domestic and global fashion brands.
"This is our first investment in this sector. We look forward to being a value-added investor as FLFL and the Future Group continue to cater to the fashion needs of aspiring India," Blackstone Managing Director Luv Parikh said.
Future Group CEO Kishore Biyani said: "Blackstone will support us in the continued growth of our fashion business, bringing global perspectives that will help us take FLFL to the next level."
As on September 30, 2019, FLFL has 349 stores measuring 7.3 million sq feet retail area. It has 48 Central stores and 100 Brand Factory besides 201 Exclusive Brand Outlets (EBOs).
It has a diversified portfolio spanning 30 fashion brands (both owned and licensed) such as Lee Cooper, Indigo Nation, Jealous 21, BARE among others.
It had reported a revenue of Rs 5,377.41 crore for FY 2018-19.