Reliance Brands Limited and Plastic Legno SPA have signed a joint venture agreement whereby RBL will acquire a 40% stake in Plastic Legno SPA’s toy manufacturing business in India. “This investment from RBL serves a dual purpose, bringing vertical integration for RBL’s toy business and helping to diversify the supply chain with a long-term strategic interest in building toy manufacturing in India,” Reliance subsidiary Industries said Wednesday.
Plastic Legno SPA belongs to the Sunino group which has more than 25 years of experience in the production of toys in Europe. The group started operations in India in 2009 out of the need to develop a strong production center that would cater to global markets, but more importantly to the rapidly changing and growing Indian market.
“In line with our Honorable Prime Minister’s vision for Atmanirbhar India, this collaboration with Plastic Legno’s vast experience in manufacturing world-class toys coupled with our strong footing in the global toy retail industry , would open new doors and unprecedented opportunities for toys made in India It is imperative for RBL to develop design-to-the-shelf capability for strategic advantage over competition and be an accelerator in building a robust toy manufacturing ecosystem in India not only for domestic consumption but also for global markets,” the spokesperson for Reliance Brands Limited said.
RBL plays an important role in the toy industry with its portfolio of Hamleys, the UK toy retailer and local toy brand – Rowan, making RBL one of the leading toy distributors. Hamleys currently has a global footprint in 15 countries with 213 doors and is the largest toy store chain in India.
“We are very privileged to have RBL as a partner in this joint venture. We are confident that Plastic Legno’s experience in toy production and Hamley’s business reach will complement each other to enable the JV company to achieve greater heights and greater success. We have important development plans to implement, always in the spirit of creating a cultural background in this specific sector in India. We are ready to face the challenges of the future, but when there is a group like RBL at our side, we are sure that together we can make a great development,” said Paolo Sunino, co-owner of Sunino Group.