New Delhi: Mothercare has entered into a joint venture with Reliance Brands Holding UK (RBL UK), marking a strategic shift in their South Asian operations.
The new entity, owned 51% by Reliance and 49% by Mothercare, will manage the Mothercare brand across India, Nepal, Sri Lanka, Bhutan, and Bangladesh.
RBL UK will acquire the stake for a cash consideration of £16 million.
“Mothercare has been a trusted name for parents in India for years, and this joint venture marks an exciting new chapter in our partnership,” said Darshan Mehta, managing director, Reliance Brands.
Reliance Brands first acquired the rights to the UK-based Mothercare brand for the Indian market in 2018. It currently operates 87 stores across 25 cities, in addition to a strong presence on e-commerce platforms.
“Today’s agreement strengthens our operations in South Asia through an even closer working relationship with Reliance, our existing valued franchise partner, and underlines the intrinsic value of the Mothercare brand strength,” said Clive Whiley, chairman of Mothercare.
Reliance Brands is a subsidiary of Reliance Retail Ventures and began operations in 2007 with a mandate to launch and build global brands in luxury to premium segments across fashion and lifestyle.
