Promising Labels

SINGAPORE, May 8, 2011 (AFP) - A 0-million private equity fund backed by the world's top luxury retailer LVMH is on the prowl for emerging Asian brands in the hope of transforming them into global names.





He said LVMH contributed less than 10 percent of the 0 million raised by the fund, with the bulk coming from US and Asian investors keen to tap into Asian luxury consumption.



The L Capital Asia fund has so far spent a total of $90 million on minority stakes in two Singaporean fashion companies and a Hong Kong-listed watch and jewellery company.

It is in advanced talks with a fashion-related firm from China and another from India and hopes to make an announcement about the investments in the next few months, said Ravi Thakran, the fund's managing partner.

Unlike its parent group LVMH, which concentrates on the top tier of the luxury sector, he said the fund focuses exclusively on promising Asian labels looking for a big breakthrough, particularly in the Chinese and Indian markets.

"The primary engine not only for Asia-Pacific, but for the whole world today, is this twin propeller of China and India," Thakran said.

"So we are looking for those smart entrepreneurs who have a grea