BENNETTON, MERRILL LYNCH UNIT PLAN JOINT VENTURE
Merrill Lynch <MER> Capital Markets said
it and Bennetton Group SPA <BTOM.M> will form a joint venture
to attract investment in unquoted Italian companies.
    Merrill Lynch Capital Markets will launch the venture with
In Capital SPA, a Milan investment bank in which Bennetton has
a 75 pct holding. The remaining 25 pct is owned by Gruppo
Finanziario Tessile S.P.A., A private textile firm.
    The two companies, who have signed a letter of intent, said
they hoped the venture will generate investments of up to 50
billion lire in private Italian firms operating in fast-growing
fields.
    Benetton is a large Italian clothing maker, with some 4,400
retail outlets worldwide. The new venture, which represents the
first partnership between an international investment bank and
a large company, is designed to help Benetton expand the
operations of In Capital.
    Merrill Lynch Capital Markets is the London-based
international merchant banking arm of Merrill Lynch Europe Ltd,
which in turn is part of the U.S. Based investment banking firm
of Merrill Lynch and Co Inc.
 Reuter
