Reliance Brands to buy 40% in Italian companies India toy manufacturing business


NEW DELHI: Reliance Brands (RBL), the retail brand licensing arm of Reliance Industries (RIL), is set to acquire 40% stake in Italy-headquartered Plastic Legno’s toy manufacturing business in India — Pune-based Dream Plast — for an undisclosed sum.
The deal will help Reliance Brands, which bought British toy retailer Hamleys in 2019 for Rs 620 crore, strengthen its toy production in the country. Apart from Hamleys, RBL owns home-grown toy brand Rowan.
The deal comes against the backdrop of global retailers such as Ikea looking to increase the sourcing of toys, albeit wooden ones, from India. A joint statement by both RBL and Plastic Legno said the investment will not only help RBL bring vertical integration for its toy business but allow it to diversify its supply chain with a long-term strategic interest in building toy manufacturing in India.
“It is imperative for RBL to build design-to-shelf capability for an advantage over the competition and to be an accelerator in building a robust toy manufacturing ecosystem in India not only for domestic consumption but also for global markets,” said an RBL spokesperson.
Dream Plast, which operates three factories in India, is a plastic injection moulding company speciali- sing in the production of toys, food packaging containers, sports items and childcare products. It is a subsidiary of Plastic Legno of the Sunino group that specialises in the “transformation of plastic materials”.
While the government last year approved eight toy clusters across India at a cost of Rs 2,300 crore, PM Narendra Modi said with 85% of toys sold in India being imported, the country’s share in the $100-billion global toy market is very less.





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