Mumbai, Dec 21 :     A week-long drama ended today with Aditya Vikram Birla group?s Indian Rayon and Industries Ltd acquiring Madura Garments, the readymade garments division of Madura Coats Ltd, including the rights for its premium brands in Saarc and Middle East countries, for Rs 236.23 crore. Indian Rayon will acquire Madura Garments from Madura Coats, a subsidiary of Coats Viyella plc, UK, together with all the employees, brand licences, distribution and manufacturing networks for Rs 189.23 crore and will become the owner/licensee in India for the premium brands. Simultaneously, in a separate transaction, Aditya Vikram Global Trading House Ltd, a wholly-owned overseas subsidiary of Indian Rayon, will purchase from Coats Viyella the technology and exclusive brand rights for various countries in Saarc and Middle East regions for $ 10.8 million (Rs 47 crore). Commenting on the deal, group chairman Kumar Mangalam Birla said, ?We believe the acquisition of Madura Garments will greatly enhance value for Indian Rayon shareholders.? The news had an electric effect in the stock markets with the Indian Rayon scrip spurting by Rs 8.30 to Rs 112.70 on the Bombay Stock Exchange. The Madura Coats scrip gained Rs 3.40 to close at Rs 46.55 on the BSE. The acquisition of Madura Garments and international brands such as Louis Philippe, Van Heusen, Allen Solly, Byford, Peter England and San Frisco will make the Indian Rayon group India?s largest branded apparel company. Madura Garments will be formally transferred to Indian Rayon on January 1, 2000. It had an annual sales of about Rs 250 crore in 1999 and has enjoyed a robust sales growth of over 40 per cent in the past five years. In a statement, Birla said there will be no change in Madura Garments? operations on account of the change in ownership and ?we will only further facilitate its growth by adding value through critical inputs of capital and leadership?. The separate transaction by Aditya Vikram Global Trading House will enable Indian Rayon to export branded garments in Saarc countries and the Middle East by leveraging India?s skill base in the textile industry using state-of-the art technology obtained from world?s leading garment manufacturers as well as the exclusive right to use globally renowned brand names in the region. It will also enable Madura Garments to access export markets and widen its growth plans, the company said. Birla said, ?The strength of the brands, the richness of people talent in the business, and its intellectual capital base is what I consider will be our greatest assets in this business.? Commenting on the deal, J.S. Remedios, managing director of Madura Coats, said, ?In proceeding with this transaction, our primary concern has been to ensure that the rights of all stakeholders are protected. Accordingly, it is the intention of both the parties to maintain on existing terms all existing relations with distributors, agents, dealers and franchisees and employees.... It also allows Madura Coats to focus on fulfilling the potential of our remaining businesses, having realised a valuation reflective of our contribution, to establishing Madura Garments as India?s leading menswear company,? he added. Birla has named Vikram Rao, group executive president, fabrics and apparel business, to manage the operations of Madura Garments as well. He was at one time the president of Madura Coats? apparel fabrics division. Madura Garments had an annual sales of about Rs 250 crore in 1999 and has enjoyed a robust sales growth of over 40 per cent for the past five years. Its exports have been in the range of Rs 25 crore per year. Madura Garments has a strong national distribution coverage through about 100 exclusive showrooms and over 3,000 retail outlets. In India, the readymade garments industry has been growing at 20-25 per cent.