FIPB approves Inditex-Trent JV

The Foreign Investment Promotion Board (FIPB) has approved a proposal by the Spanish apparel player, Industria de Diseno Textil, Sociedad Anonima (Inditex SA, to set up a joint venture with the Tata group subsidiary, Trent Ltd with an investment of Rs 23.58 crore.     

The proposal, approved by the FIPB at its meeting on July 24, has been sent for consideration of the Finance Ministry, according to sources.     

The JV shall set up stores to conduct the business of single brand retail trade of all types of garments, footwear, accessories, fragrances and cosmetics products for women, men and children under the brand name of 'Zara' and associated sub-brands of Zara Basic, Zara Woman, Trafaluc, Textures Zara and TRF.     

 

According to the proposal, Inditex SA  will have a 51 per cent stake in the JV, while the remaining 49 per cent would be held by Trent.