Reliance Industries said that Reliance Brands Holding UK and Mothercare plc will form a joint venture that will own the Mothercare brand and its intellectual property assets related to the regions of India, Nepal, Sri Lanka, Bhutan, and Bangladesh.
Under the agreement, Reliance Brands Holding UK (RBL UK) will hold a 51% stake in the joint venture, while Mothercare Global Brand Limited will retain the residual 49% interest.
RBLUK will acquire the stake for a cash consideration of 16 million. This joint venture will act as the franchisor of the Mothercare brand in the specified South Asian regions, unlocking new growth opportunities while leveraging the strengths of both organizations.
Reliance Brands first acquired the rights to the UK-based Mothercare brand for the Indian market in 2018 and currently operates 87 stores across 25 cities, in addition to a strong presence on e-commerce platforms. Darshan Mehta, managing director, Reliance Brands, said: Mothercare has been a trusted name for parents in India for years, and this joint venture marks an exciting new chapter in our partnership.
Its been incredibly rewarding to work alongside the talented Mothercare team, and this deeper collaboration reflects the strong relationship weve built over time. Im excited about the opportunities this new era brings as we continue to expand the brands presence across South Asia.
RBL UK is a wholly-owned subsidiary of Reliance Brands, which is a subsidiary of Reliance Retail Ventures (RRVL). RRVL is a subsidiary of Reliance Industries.
Also Read
Reliance Industries (RIL) is India's largest private sector company. Its activities span hydrocarbon exploration and production, petroleum refining and marketing, petrochemicals, renewables (solar and hydrogen), retail and digital services.
RIL had reported 3.6% fall in consolidated net profit to Rs 19,101 crore in Q2 FY25 from Rs 19,820 crore in Q2 FY24. Gross revenue rose by 0.8% year-over-year to Rs 258,027 crore in the second quarter.
The scrip declined 0.71% to currently trade at Rs 2694.15 on the BSE.
Powered by Capital Market - Live News
Disclaimer: No Business Standard Journalist was involved in creation of this content