Himatsingka Seide acquires 70 pc stake in Giuseppe Bellora

New Delhi, Mar 1 (UNI) Textile designing and manufacturing company Himatsingka Seide Ltd has completed the acquisition of a 70 per cent equity stake in Italy-based Giuseppe Bellora SpA.

''The acquisition is in line with the our strategy of investing in luxury brands and distribution networks in the home textile space,'' company's Executive Director Shrikant Himatsingka said today.

This acquisition has synergies with the Greenfield bed linen project coming up at Hassan SEZ, Karnataka, with an investment of Rs 400 crore, Mr Himatsingka added.

The company acquired 59.74 per cent stake in Giuseppe at an enterprise value of Euro 20 MM (including Euro 7 MM of long-term debt).

The stake was acquired from a PE firm and the promoter family and the company infused an another Euro 3.75 MM as fresh equity to increase its stake to 70 per cent.

The company funded the acquisition out of the GDR proceeds of 60 million dollars raised in December 2005.

Giuseppe Bellora has reported a consolidated top line of Euros 29.8 MM for the year ended December 31, 2006. Its brand 'Bellora' has a strong presence through exclusive stores, departmental stores and multi-brand outlets across Europe.

UNI