Reliance Brands UK to acquire 51% stake in Mothercare South Asia for $20.8 m
18 Oct 2024
Reliance Brands Holding UK Ltd a wholly-owned subsidiary of Reliance Brands Ltd, the brand acquisition arm of Reliance Industries Ltd, is acquiring a 51 per cent interest in Mothercare plc’s South Asia operations for £16 million ($20.8 million) in cash.
RBL UK has formed a joint venture with Mothercare plc for the region comprising India, Nepal, Sri Lanka, Bhutan and Bangladesh.
Under the joint venture agreement, RBL UK will hold a 51 per cent stake in the joint venture, while Mothercare Global Brand Limited will retain the residual 49 per cent interest.
The joint venture, JVCO 2024 Ltd, will own the Mothercare brand and related intellectual property assets in the region.
Mothercare is a company specialising in the manufacture of products for parents and young children.
Reliance Brands already owns the rights to the UK-based Mothercare brand for the Indian market and currently operates 87 stores across 25 cities, as also through its e-commerce platforms.
The new joint venture agreement will further strengthen Mothercare’s operations in the region, said Clive Whiley, chairman of Mothercare.
Reliance Brands Limited (RBL), a subsidiary of Reliance Retail Ventures Ltd, started operations in 2007. Today, RBL holds the mandate to launch and manufacture global brands in luxury to premium segments across fashion and lifestyle, including some of the world’s leading brands.
