Raymond Ltd, India’s leading textile and apparel major has announced a 50:50 joint venture with Italian fashion company Grotto S.p.A. The joint venture will launch the successful GAS brand in India.
With a total investment of approximately Rs 500 million, the joint venture will bring together Grotto S.p.A.’s expertise in design and managing a successful brand and Raymond Ltd’s expertise in apparel brand building and retailing, not to forget its vast distribution network. The market for jeanswear in India is estimated at 90 million pairs per annum, of which 30 per cent has been captured by the branded segment.
GAS will be retailed in India through flagship stores, exclusive franchisee stores, large-format stores and multi-brand outlets. The plans include opening nearly 600 points of sale in the next three years.
Gautam Hari Singhania, chairman and managing director, Raymond Ltd, said, “The introduction of GAS in India is an exciting moment for us at Raymond. It reiterates our continued pursuit of bringing the best in international fashion to Indian consumers. Our approach, through this 50:50 venture, ensures that the consumer will get the benefit from the strengths of both partners. GAS is renowned for its strong connect with the fashion and lifestyle of young consumers sensitive to new fashion trends.”
Aldo Palmeri, vice chairman and member on the board of Grotto S.p.A., said, “We are pleased to partner with Raymond Ltd to form this joint venture in the pursuit of establishing the GAS brand in one of the most upcoming and strategic markets of the world. Being one of the most respected and established brands in India, Raymond Ltd not only has a very strong distribution and retailing network, but also the experience in creating significant brands in India. Our association with Raymond will definitely help GAS to capture a much larger market share in India.”
GAS is a leading Italian premium apparel brand owned by Grotto S.p.A. and promoted by the Grotto family. The founder, Claudio Grotto, started his business in fashion in the early 1970s. In 1986 the company was incorporated as Grotto S.p.A. and beginning in 1990, commenced a new phase: the launch of the GAS brand and the very first GAS collection.