Business Daily from THE HINDU group of publications
Tuesday, Dec 05, 2006

Cross Currency

Group Sites

Home Page - Gems & Jewellery
Marketing - Strategy
Corporate - Alliances & Joint Ventures
Fossil in 50:50 joint venture with Rajesh Exports

Our Bureau

To manufacture, market brands in India

NEW VENTURE: Mr Rajesh Mehta, Chairman of Rajesh Exports Ltd (left) with Mr Mark Parker, senior Vice-President, Fossil Asia Pacific, at a press conference in Bangalore on Monday. — G.R.N. Somashekar

Bangalore , Dec. 4

US-headquartered watches and accessories brand Fossil Inc has entered into a joint venture with Rajesh Exports to manufacture and market its brands in India and jointly develop jewellery lines for the global market.

Fossil has also acquired fashion jewellery brand OyzterBay. Rajesh Exports had taken over the retail assets of OyzterBay recently and converted OyzterBay standalone stores into Laabh Jewellers outlets as part of its Rs 450-crore retail venture. But the OyzterBay brand is now being given a fresh lease of life through Fossil.

The 50-50 joint venture with Rajesh Exports will be called Fossil India Inc. Mr Vasant Nangia will be the Managing Director of the new company. While Fossil will source jewellery from Rajesh Exports, Fossil's brands will also be sold in Rajesh Exports' retail stores. Fossil's watch portfolio include the brands DKNY, Fossil, Diesel, Emporio Armani, Burberry, Zodiac, Adidas and Michele. The deal also entails manufacture of Fossil brands in the country with Fossil planning to set up a manufacturing base in India soon. Preliminary studies regarding the location of the unit; the size of manufacturing and the brands to be made are yet to be decided. It will be decided once the new customs duty structure is announced in the Budget, said Mr Rajesh Mehta, Chairman, Rajesh Exports.

Fossil has its own manufacturing facilities in China and Switzerland. "The joint venture will also jointly create a range of designs in jewellery to be offered to global markets through the established network of Fossil," said Mr Mehta.

Mr Mark Parker, Senior Vice-President, Fossil Asia Pacific, said he was excited about India, as it is "going to be the driver of Asia and will overtake China soon."

With the OyzterBay brand in its kitty, Fossil will roll out new-format OyzterBay stores from next year. The stores will sell all the products of Fossil - watches and fashion accessories. Plans are on to take the OyzterBay brand to the global markets as well - Asia Pacific and North America to start with. Meanwhile, the first phase of Rajesh Exports' retail venture is nearing completion with 22 Laabh Jewellers stores. Another 100 retail stores under the name `Shubh Jewellers' will be opened by April 2007. Rajesh Exports is also looking to open Shubh and Laabh stores abroad.

More Stories on : Gems & Jewellery | Strategy | Alliances & Joint Ventures | Watches & Accessories

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page


Stories in this Section
`Best weather' brewing for crops in TN, northern plains

Is there a need to review tax benefits for mergers?
US for mutual solution to shrimp dumping duty row
East Asia a market for legal outsourcing
Will India feel the ripple of a US slowdown?
Panel moots formula for gas price valuation
NTPC plans power auctions from four new `merchant plants'
India, Unilever's top emerging market
Protests intensify
Fossil in 50:50 joint venture with Rajesh Exports
IBM to double India headcount to 1 lakh
Red Hat partners with Satyam
`Review stand on liability cover for transporters'
Sensex meanders sideways, closes with marginal gains
Hero Honda: New moves unwelcome?
Sugar stocks shine
Four commodity futures traders suspended
FII inflows highest in November for 2006

The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | The Hindu ePaper | Business Line | Business Line ePaper | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |

Copyright 2006, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line