S Kumars plans JV with DKNY: report

23 March 2009

Textiles firm S Kumars Nationwide Ltd is close to forming a joint venture with global fashion accessories firm DKNY, a brand owned by French luxury firm Louis Vuitton. According to a report in The Economic Times, the two firms are in the final stages of discussion and an announcement is expected in a fortnight.

S Kumars is likely to hold the majority stake in the joint venture company, which will procure textiles worth over $250 million from it. The JV, which will have the right to appoint all future franchisees of DKNY, could lead to the entry of DKNY stores in India.

S Kumars will become the sole supplier to over 70 DKNY stores globally if the deal goes through, the report added, quoting unnamed sources.

DKNY, currently a public traded venture, was founded in 1985 in New York by Donna Karan and her late husband Stephan Weiss. It was later purchased by LVMH Moet Hennessey Louis Vuitton.

Last year, the S Kumars Group was divided among the Kasliwal family, with Nitin Kasliwal getting charge of the Rs 1,700-crore SKNL. The Kasliwals, promoters of SKNL, hold nearly 47 per cent of the stake.

SKNL's retail arm Brand House Retail manages exclusive stores of four SKNL brands, including Reid & Taylor, Stephens Brothers, Belmonte, and Carmichael House. Last month, it floated a JV with Italy's high-street brand Oviesse.