Financial Daily from THE HINDU group of publications
Friday, Jun 10, 2005
Financial Daily from THE HINDU group of publications Friday, Jun 10, 2005 |
|
|
|
|
|
Corporate
-
Alliances & Joint Ventures Raymond to set up joint venture with Italian woollen fabric co Our Bureau
Mr Gautam Singhania, Chairman & Managing Director, Raymond, addressing a press conference in Mumbai on Thursday. — Shashi Ashiwal
Mumbai , June 9 RAYMOND Ltd on Thursday announced that it plans to set up a joint venture with Italian woollen fabric manufacturer, Lanificio Fedora, with an investment of Rs 40 crore. Raymond would transfer its existing carded woollen unit, making largely blankets and shawls, at Jalgaon to the new joint venture. The partners would take a 50:50 stake in the joint venture which will be called Raymond Fedora Pvt Ltd. "With this joint venture, we will incorporate the technical expertise and industry experience of our partners within our existing business to offer world-class products for the domestic and international markets,'' said Mr Gautam Singhania, Chairman and Managing Director, Raymond. The unit had a turnover of Rs 17 crore last year and a low capacity utilisation due to severe competition from cheaper acrylic based products. Apart from access to technical expertise from Lanificio Fedora, the new partnership will see the enhancement of the current manufacturing capacity from 15 lakh metres per annum to 25 lakh metres per annum in the first phase. The venture will have a product mix that includes blankets, shawls and fancy woollen jacketing and expects to export around two-thirds of its output. The expected turnover in the first year of the venture is likely to be around Rs 65-70 crore. Lanificio Fedora is a producer of carded woollen fabric and is shrinking its operations in Italy. In February this year, Raymond had announced a joint venture with another Italian company called Cotonificio Honegger, which is part of Gruppo Zambaiti, manufacturer and marketer of high value shirting fabrics.
Article E-Mail :: Comment :: Syndication :: Printer Friendly Page
|
Stories in this Section |
|
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription Group Sites: The Hindu | Business Line | The Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |
Copyright © 2005, The
Hindu Business Line. Republication or redissemination of the contents of
this screen are expressly prohibited without the written consent of
The Hindu Business Line
|