Reliance Brands Inks Pact With Plastic Legno SPA's India Toy Business
RBL will acquire a 40 per cent stake in Plastic Legno SPA's toy manufacturing business in India
Reliance Brands Limited (RBL) and Plastic Legno SPA have signed a joint venture arrangement through which RBL will acquire a 40 per cent stake in Plastic Legno SPA's toy manufacturing business in India.
This investment by RBL serves a dual purpose, bringing in vertical integration for RBL's toy business and helping diversify the supply chain with a long-term strategic interest in building toy manufacturing in India, said a company statement.
"This collaboration with Plastic Legno's deep experience in world-class toy manufacturing coupled with our strong footing in the global toy retail industry would open new doors and unparalleled opportunities for toys manufactured in India. It is imperative for RBL to build, design-to-shelf capability, for a strategic advantage over the competition and to be an accelerator in building a robust toy manufacturing ecosystem in India and global markets," said a spokesperson of RBL.
RBL's toy industry portfolio includes Hamleys, the British toy retailer and homegrown toy brand – Rowan. Hamleys currently has a global footprint across 15 countries with 213 doors and is India's largest chain of toy stores.
"We are very privileged to have RBL as a partner in this joint venture. We are confident that Plastic Legno's experience in toys production and Hamley's commercial outreach, will complement one another to enable the JV Company to achieve greater heights and successes. We have important development plans to implement, always in the spirit of creating a cultural background in this specific sector in India. We are ready for the challenges of the future, but when there is a group like RBL alongside, we are sure that together we can do great development," said Paolo Sunino, co-owner, Sunino Group.