Bombay Rayon to acquire Leela Scottish biz

Mumbai, July 4: Textile giant Bombay Rayon Fashions Limited (BRFL)today said that they would acquire the garment business of theChennai-based Leela Scottish Lace for Rs 155 crore.

The acquisition will be made by BRFL's wholly owned subsidiary Bombay Rayon Apparels Private Limited.

Leela Scottish is engaged in the manufacture and exports ofreadymade garments and have 18 manufacturing centers located atBanglore, Chennai, Kochi and Thiruvananthapuram.

In a communique to the BSE, Bombay Rayon said that their Board ofDirectors at a meeting yesterday have approved this acquisition.

They have also announced a dividend of 12.50 per cent of Rs 1.25 per share to unit holders for the year 2006-O7.

The Mumbai-based Bombay Rayon had registered a Compounded AnnualGrowth Rate (CAGR) of over 100 per cent in sales over the last threeyears.

The company, which exports garments to Europe and US, has a clientcircle that includes Tom Tailor, DKNY and Liz Clairborne, Bombay Rayonadded.

UNI