Reliance Industries has informed in an exchange filing that Mothercare Plc and Reliance Brands Holding UK have announced a strategic joint venture (JV). The Mothercare brand and its intellectual property assets will be under the JV in 5 regions. The JV has been announced for 5 regions of South Asia - India, Nepal, Sri Lanka, Bhutan and Bangladesh. Reliance Industries said in an exchange filing that under the agreement, Reliance Brands Limited (RBL) UK will hold a 51 percent stake in the JV, while Mothercare Global Brand Limited will retain the remaining 49 percent stake.

RBL UK will acquire the stake for a cash consideration of £16 million. The JV will act as the franchisor of the Mothercare brand in the specified South Asian region, opening up new growth opportunities by leveraging the strengths of both organizations.

About Reliance Brands Reliance Brands first acquired the rights to the UK-based Mothercare brand for the Indian market in 2018 and currently operates 87 stores in 25 cities, in addition to a strong presence on e-commerce platforms. Reliance Brands Limited (RBL) is a subsidiary of Reliance Retail Ventures Limited and began its operations in 2007 with the aim of launching and building global brands in the luxury to premium segments in fashion and lifestyle. Shares of Reliance Industries closed 0.20 per cent higher at Rs 2,713.45 on Thursday. The company's stock has seen a rise of 15.19 per cent in the last one year.