Superdry Plc, based in the United Kingdom, said in a statement on October 4 that it has signed a joint venture agreement with Mukesh Ambani's Reliance Brands Holding UK for the sale of the company's intellectual property assets in India, Sri Lanka, and Bangladesh for around £40 million.

Reliance Retail Ventures' RBUK and Superdry will each own 76% and 24% of the joint venture vehicle, respectively. Since 2012, RBUK has been Superdry's sole franchise partner in India. Superdry will continue to supply finished goods to Reliance on established commercial terms.

"The consideration for the sale of the South Asian IP is £40 million, which is estimated to result in Superdry receiving gross cash proceeds of £30.4 million (approximately £28.3 million net of fees and taxes)," said the business.

RBL, RRVL's retail arm, presently manages around 18,000 outlets in India, providing clients with access to over 50 distinct luxury fashion brands.

"Since partnering with RBL in 2012, the Superdry brand in India has grown rapidly." With a booming Indian economy, a growing number of affluent buyers, and rising garment consumption rates, the Superdry brand has appealing market potential. As the top fashion retail operator in India, RBUK is best positioned to capitalise on the opportunity, thanks to a majority stake in the intellectual property." Superdry said.