Reliance Brands sets up JV with Italian luxury menswear co

For this purpose, Zegna South Asia Private Ltd that is operational since 2006 will be reorganised as the joint venture with the Ermenegildo Zegna Group holding 51 per cent and Reliance Brands holding 49 per cent, Reliance Brands said in a statement here.

Through this JV, the company aims to ramp-up the operations and create a national footprint to capture the potential of the Indian luxury market, it said.

The JV is also planning to set up more than 10 stores across 6-7 cites by 2015, beginning with a single-brand boutique to be opened in Hyderabad in October.

"Zegna is one of the most coveted brands in men's luxury and it is a matter of prestige and excitement for Reliance to partner with them in India. Given the rising aspirations and influence of western luxury on the Indian consumer, this partnership is well-timed," Reliance Brands' President and CEO, Darshan Mehta, said.

Ermenegildo Zegna Group has been present in India since 2003 and was one of the first global luxury brands to get Foreign Direct Investment (FDI) approval for mono-brand retail following liberalisation by the Indian Government.

World-wide, there are 555 Ermenegildo Zegna points of sale in 86 countries, of which over 300 are direct operating stores.

Reliance Brands began operations in October 2007 with a mandate to launch and build international and domestic brand equity in the premium to luxury segment across apparel, footwear and lifestyle businesses.