Denim brand Pepe Jeans Europe has entered into a joint venture company with hosiery company Dollar Industries to manufacture and market premium fashion innerwear, loungewear, gymwear, sleepwear and track suits for adults and kids, in India.
The new joint venture will see both companies holding a 50 percent stake in Pepe Jeans London, which will produce a new range of products to be sold in India, Sri Lanka, Nepal, Bhutan and Bangladesh.
This tie up will help both the companies to work towards creating a premium innerwear brand in the country, while also bringing in foreign direct investment for the textile sector in India.
Pepe Jeans India managing director Kavindra Mishra said: "Pepe Jeans’ expansion into newer categories is a strategic progression of the brand. Our objective was to partner with a great Indian brand with a strong distribution and production set-up.
“This is a strategic investment for the brand. We are funding the joint venture as per a strong scalable business plan. We believe that at present there is a gap in the market, and therefore immense potential for a strong innovative premium innerwear brand to grow.”
Mishra added: "Together with Dollar Industries Limited we are looking to spearhead growth and innovation in this category. With our strong brand name and Dollar Industries industry expertise will take both the brands to greater heights.”
Dollar Industries managing director Vinod Kumar Gupta said: “The innerwear category is a high growth category in the apparel market. With higher discretionary spending and growing fashion consciousness, this segment is poised to grow exponentially. The JV with Pepe Jeans will give a boost to Dollar Industries and help Dollar increase their market share and penetrate the premium Innerwear segment.”