South Korean fashion retail company E-Land Asia Holdings has acquired the entire 65.84 percent stake in Mudra Lifestyle owned by a group company E-Land Fashion China Holdings at a cost of Rs. 746.9 million.
The transaction involves transfer of 31.5 million shares of Mudra Lifestyle from E-Land Fashion China Holdings Limited to E-Land Asia as part of internal restructuring, Mudra Lifestyle said.
In October 2010, E-Land Fashion China Holdings first acquired a 25 percent stake in Mudra Lifestyle through a preferential allotment. Then in July 2011, it bought another 20 percent stake in the Indian company by paying Rs. 575.8 million, and increasing its total share to 45 percent.
In addition, the Korean firm purchased 20.84 percent stake in Mudra Lifestyle from open market, thus enhancing its overall stake in the company to 65.84 percent.
Mudra Lifestyle is a part of the Mudra Group, and has facilities for fabrics & garments manufacturing, processing, design development and sampling. The company manufactures fabrics and garments for domestic and export market.
Fibre2fashion News Desk - India
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