Tata’s Trent Reduces Stake in Zara, Massimo Dutti JVs as Focus Shifts to Own Brands

Tata Group’s retail arm, Trent Ltd, has trimmed its stake in joint ventures with Spanish fashion giant Inditex—operators of Zara and Massimo Dutti in India—as it intensifies focus on expanding its homegrown brands, Westside and Zudio.

According to Trent’s FY25 annual report released Thursday, the company reduced its holding in Inditex Trent Retail India Pvt. Ltd (ITRIPL), which runs Zara stores, from 49% to 34.94%. This was achieved by selling 1.4 lakh equity shares through a buyback offer effective August 30, 2024. Similarly, Trent cut its stake in Massimo Dutti India Pvt. Ltd (MDIPL) from 49% to 20% by selling 1.75 lakh shares to Grupo Massimo Dutti, Spain, effective March 25, 2025.

Despite a modest revenue increase of 2.26% in FY25, Zara remains a major player with 22 stores across 13 cities, reporting ₹2,839.5 crore in income. Massimo Dutti, with just three stores, posted marginally lower revenue at ₹101.23 crore.

Trent has clarified that its partnership with Inditex was always positioned as a financial rather than strategic engagement. “The company views its related commitments as a financial investment,” the report noted, citing Inditex’s full control over brand ownership, merchandise supply, and customer propositions.

The development comes as Inditex appears to be consolidating its position in India through greater ownership, while Trent doubles down on scaling its proprietary fashion formats like Zudio, which has rapidly expanded its presence in tier-II and tier-III cities.

This shift signals a growing divergence in strategy, with Trent looking inward to strengthen its retail identity, even as international labels continue to seek deeper stakes in the Indian market.