Aug 7 G-III Apparel Group Ltd said it
acquired luxury swimwear brand Vilebrequin from private equity
fund Fashion Fund I B.V. for 85.5 million euros ($106.19
million) and outlined plans to expand the brand internationally.
The company plans to add more retail locations throughout
the world and further develop the brand's men's accessories and
resort-wear offerings, G-III said in a statement.
Of the purchase price, 70.5 million euros was paid in cash
and 15 million euros was paid by unsecured promissory notes, due
December 31, 2017, with interest at the rate of 5 percent per
In addition to the purchase price, the agreement provides
for up to an additional 22.5 million euros in milestone
G-III funded the cash portion of the deal with its newly
expanded $450 million bank facility.
Vilebrequin sells its products through 185 owned and
franchised specialty retail stores, as well as wholesale
distribution. It had 2011 sales of 45.1 million euros.
The company said the acquisition is expected to be neutral
to its earnings per share for its fiscal year ending Jan. 31,
2013 excluding acquisition and integration expenses.
Barclays acted as the exclusive financial advisor to G-III.