News: Pantaloon to set up Hong Kong sourcing unit

(RTR 17/11/2006) Mumbai - Pantaloon Retail India Ltd. said on Friday its board has approved investing $1 million in setting up a unit in Hong Kong to source products from China.

The firm will also have two smaller units in mainland China to source consumer electronics, apparel, furniture and appliances worth more than $500 million over the next 12 months, Pantaloon's Chief Executive Kishore Biyani told Reuters.

The board of largest retailer also approved investing Rs 17.5 crore ($3.9 million) in a subsidiary company to sell office supplies.

Ahead of the news, shares in Pantaloon ended up 2.23 per cent at Rs 2,200 in a weak Mumbai market.