Mumbai, Dec 9 (IANS): Reliance Industries (RIL) Tuesday said it has signed a joint venture agreement with Chinese textile firm Shandong Ruyi Science and Technology Group (Ruyi) towards repositioning its textile business and expanding globally.

RIL will hold 51 percent in the JV while the remaining will be held by Ruyi, Reliance said in a statement. As per the definitive agreements, RIL will transfer its existing textile business into the newly incorporated JV for which it will receive cash payment.

The JV will build on the company’s existing textile business and wide distribution network in India as well as Ruyi’s state-of-the-art technology and its global reach.

"The JV will benefit from the strength of 'Vimal' and 'Georgia Gullini' brands and plans to introduce some of the well known global brands," RIL said in a statement here.

The Ruyi Group operates in India under the 'Georgia Gullini' brand in the worsted suiting segment.

Commenting on the deal, RIL executive director Nikhil R. Meswani said: "Our joint venture with Ruyi Group will help Reliance reposition its textile business on a high growth path. Our partner's deep commitment and global reach in textile business will enable the JV to harness the growth potential of the Indian market and emerge as a global textile player."

Shandong Ruyi has a presence in America, Europe, Japan, Australia, New Zealand and China. It has partnerships with global players such as Itochu, Japan, and owns or operates a plethora of world renowned brands like Taylor & Lodge, Harris Tweed, Nogara and Aquascutum.