Home / Knowledge / News / Textiles / CCI gives nod to RIL-Shandong Ruyi deal
CCI gives nod to RIL-Shandong Ruyi deal
11
Mar '15
Indian fair trade watchdog, Competition Commission of India (CCI) has approved the proposal of Reliance Industries to sell 49 per cent stake in a newly-formed textile firm to Chinese company, Shandong Ruyi.

“The Commission is of the opinion that the proposed combination is not likely to have an adverse effect on competition in India and therefore approves the said proposal,” CCI said in a statement.

Under the proposed deal, CSTT Co Holdings, an investment arm of Ruyi will acquire 49 per cent stake in a textile company to be incorporated by Reliance as a wholly owned subsidiary.

Reliance will transfer its entire textile business to the subsidiary and will hold the remaining 51 per cent stake in the new company.

Ruyi which operates in India under the Georgia Gullini brand will also transfer this business to the joint venture, while RIL will transfer its flagship textile brand, Vimal.

Giving its opinion, the regulator said that RIL and Ruyi have an overlap in men’s shirting, suiting and trouser fabric and in the men’s readymade trouser segments of the textile industry.

“It is observed that in all these segments, the share of both Ruyi and RIL is insignificant and a good number of other players are present,” it added.

“As regards the vertical relationship between RIL and Ruyi, it is observed that the same is insignificant and unlikely to give rise to competition concerns,” CCI noted.

The new subsidiary will build on RIL’s existing textile business and wide distribution network in India as well as Ruyi’s technology and its global reach.

It will also benefit from the strength of the ‘Vimal’ and ‘Georgia Gullini’ brands and has plans to debut a few of global brands of Ruyi.

Fibre2fashion News Desk - India


Must ReadView All

Sri Lanka reduces VAT on imported fabric to 5%

Textiles | On 24th Sep 2018

Sri Lanka reduces VAT on imported fabric to 5%

Considering the requests made by the stakeholders in the fabric...

E-com firms in India to deduct 1% TCS under GST from Oct 1

Apparel/Garments | On 24th Sep 2018

E-com firms in India to deduct 1% TCS under GST from Oct 1

E-commerce companies in India will have to deduct 1 per cent tax...

Courtesy: Andritz

Textiles | On 24th Sep 2018

'Strength of economy, demographics drive nonwovens demand'

The strength of the economy and demographic trends are the main...

Interviews View All

Karan Suratwala, Key Textile Accessories Private Limited

Karan Suratwala
Key Textile Accessories Private Limited

Chinese imports are destroying the supply chain

Kamlesh Vaghela, RK Textiles

Kamlesh Vaghela
RK Textiles

Very few machinery manufacturers have R&D units

Saket Garg, Garg Corporation

Saket Garg
Garg Corporation

The biggest challenge is lack of skilled workforce and competition from...

Ravi Raj Desai,

Ravi Raj Desai

Himalaya Cotton Yarn Ltd manufactures high quality denier. The spinning...

Yash Jain & Sanjeev Jain,

Yash Jain & Sanjeev Jain

Divyam Export, launched about 30 years ago, exports to 15 countries,...

Rajat Jaipuria,

Rajat Jaipuria

Activewear brand Soul Space promotes organic cotton farming and...

Ray Baughman, University of Texas -Dallas

Ray Baughman
University of Texas -Dallas

<div>A team of scientists and researchers have discovered twistrons,...

Marcel Alberts, Eurofibers

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Isabel Herranz, European School of Business & innovation

Isabel Herranz
European School of Business & innovation

Cutting-edge ideas like the Internet of Things and artificial intelligence ...

Samar Firdos, Arvind Ltd

Samar Firdos
Arvind Ltd

<b>Samar Firdos</b>, Chief Manager (Design) at Lifestyle Apparel Denim...

Ritu Kumar, Label Ritu Kumar

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Vaanee Bhatia, Gritstones Clothing

Vaanee Bhatia
Gritstones Clothing

<div>Delhi-based Gritstones Clothing offers quality and exemplary style...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


September 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Advanced Search