Reliance Industries in talks to buy British toymaker Hamleys - Moneycontrol (updated)

C banner International Holdings

17/04/2019 10:49

(Updates with response from Reliance)
    April 17 (Reuters) - Reliance Industries Ltd  RELI.NS  is in
talks to buy British toy store chain Hamleys, business news
website Moneycontrol reported on Wednesday citing multiple
sources, as the Indian conglomerate seeks to expand its
footprint in the consumer space.
    Reliance Retail, the retail arm of billionaire Mukesh
Ambani-owned Reliance Industries, is "aggressively pursuing the
deal", the website quoted one of the sources as saying.
    Due diligence is in advanced stages, the website reported,
adding that if the deal went through, Reliance Retail planned to
increase the geographic footprint of the 259-year old toymaker
in India to about 200 stores over the next three years from
around 50 currently.
    Reliance Retail currently has the licence to sell Hamleys
products in India.
    Sky News reported https://news.sky.com/story/hamleys-reaches-endgame-under-ownership-of-chinas-c-banner-11530330
 last October that Chinese fashion retailer C.banner
International Holdings  1028.HK , which bought https://www.reuters.com/article/hamleys-ma-cbanner-idUSL3N12T5Q720151029
 Hamleys for 100 million pounds ($130.55 million) in cash in
2015, was looking to sell it after logging heavy losses.
    Reliance Industries declined to comment on media speculation
and rumours, while Hamleys and C.banner did not immediately
respond to Reuters' requests for a comment.
    The conglomerate's strategy to diversify beyond refining and
petrochemicals showed results last quarter, when its
fast-growing telecom and retail businesses drove profit to new
highs despite its gross refining margins taking a hit amid
volatility in oil prices and slowing demand globally.
 urn:newsml:reuters.com:*:nL3N20U1ME  
    The group's retail business saw revenue double to 356
billion rupees in the period, while earnings before interest and
taxes more than tripled to 15 billion rupees.  urn:newsml:reuters.com:*:nL3N1ZI3DT
    
($1 = 0.7660 pounds)

 (Reporting by Chris Thomas in Bengaluru; Editing by Subhranshu
Sahu)
 ((chris.thomas@thomsonreuters.com; +91-80-6749-8695; Reuters
Messaging: chris.thomas.thomsonreuters.com@reuters.net))