South African company, Woolworths Holdings has today announced subsidiary brand, Country Road Group has entered an agreement to acquire Australian designer menswear retailer Politix.
Politix has 75 stores, including 31 concessions across Australia and FY2016 sales of A$56 million.
The proposed acquisition will be funded through internal resources and is expected to be immediately EPS accretive. Woolworths said the acquisition is consistent with WHL’s southern hemisphere strategy of building a strong and diversified portfolio of iconic brands.
Politix will add to WHL’s existing Australian stable which includes David Jones, Country Road, Witchery, Trenery and Mimco.
Politix has a 40-year heritage, which appeals to a broad base of fashion-conscious men aged 18 to 35. Former Liverpool FC and Socceroo star, Harry Kewell continues to be the brand’s key ambassador, in a longstanding association that stems back to 2008.
“The acquisition of Politix is a logical acquisition that will deliver value for WHL’s shareholders,” said Ian Moir, CEO, WHL. Politix will extend WHL’s menswear offering in Australia and in time we expect to roll out the brand in David Jones and into New Zealand.”
Peter Sitch, CEO, Politix said, “This is a tremendous result for our people and our customers. WHL is a world class retailer and will provide the best possible platform for further domestic growth and future international expansion of our brand.”
Access exclusive analysis, locked news and reports with Inside Retail Weekly. Subscribe today and get our premium print publication delivered to your door every week.
