S. Kumars eyes acquisitions in international market

June 17th, 2008 - 5:44 pm ICT by IANS  

New Delhi, June 17 (IANS) Textiles major S. Kumars Nationwide Ltd is planning to enter the international market and will set up a holding arm in Netherlands, SKNL International, for acquisitions in Europe and North America. The company decided in a meeting of the board of directors Monday that the international holding arm will be established and domiciled in Netherlands as it is a tax efficient jurisdiction.

“There are potential acquisition opportunities in Europe and North America which are currently being examined by the company,” it said in a statement to the Bombay Stock Exchange.

“It has decided to pursue potential targets that would result in strong front-end or back-end synergy for the company and where companies operate in fashion and design led activities as opposed to low cost commodity business.”

“As of now the company has not yet decided how much they are going to invest. The detailed strategy on the international holding is still to be framed,” said a source close to the company.

Through acquisitions abroad the company is looking at strong business opportunities for S. Kumars Nationwide’s garment, home textile and high value fine cotton divisions.

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