French luxury group Kering is reportedly set to invest EUR15m (US$20.4m) in the construction of a new tannery, following its acquisition of France Croco.

The project could create 150 jobs, according to French press reports.

Kering, however, declined to comment. 

A source close to the project confirmed there are plans to build a new tannery in Périers, Normandy - close to the existing one, which employs around 50 staff.

"The expertise of the local labour force and the municipal council's commitment to building a water treatment plant serving the new tannery as well as to taking on responsibility for the conversion of the existing plant are key factors in the project going ahead," the source underlined.

The plant will have six times the capacity of its predecessor and is earmarked to start operations mid-2016.