These initiatives include:
- Sale of its snowboard subsidiary, Mervin Manufacturing for $58 million;
- Purchase of all remaining minority interests in its joint ventures in Mexico and Brazil;
- Establishment of a €60 million European credit facility;
- Plans to divest certain other non-core businesses.
“These transactions represent additional milestones in executing our multi-year profit improvement plan,” said Andy Mooney, President and Chief Executive Officer of Quiksilver, Inc.
“We used a portion of the Mervin proceeds to invest in our high-growth subsidiaries in Mexico and Brazil, and we now own 100 percent of our operations in both countries. The remaining proceeds from the Mervin sale, combined with the new European credit facility, enhance our financial flexibility and add greater stability to our liquidity.
“Divesting Mervin and the other non-core businesses will allow management to focus on expanding our three core brands – Quiksilver, Roxy, and DC Shoes – along with driving additional operational efficiencies.”
Last month, the company completed the sale of its snowboard subsidiary, Mervin Manufacturing, Inc. Mervin is a leading designer and manufacturer of snowboarding products, with brands that include Gnu and Lib Tech.
On October 31, 2013, the company entered into a €60 million European credit facility with Eurofactor. The credit facility, which does not contain any financial covenants, has an initial term of three years.
Quiksilver also announced its intention to pursue the divestiture and exit of other non-core businesses, including Surfdome Shop, Ltd. (Surfdome), Hawk Designs, Inc. (Hawk), its Moskova brand, and its business under license with Maui and Sons. As a result, the company plans to classify Mervin, Surfdome and Hawk as assets held for sale and discontinued operations at October 31, 2013.
Textiles | On 27th Jun 2017
E-commerce players in India will not be required to deduct tax on...
Apparel/Garments | On 27th Jun 2017
Future Group, which runs retail stores across India under various...
Textiles | On 27th Jun 2017
Apparel Export Promotion Council (AEPC) and National Securities...
Marazban F Velati
Sutlej Textiles & Industries limited
No training can be effective till the candidate believes in it.
We are using Facebook and Instagram to promote ourselves
e-Commerce is still evolving fast with constant flux and surprises
Swerea IVF AB
Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...
Biovation II LLC
Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...
The Indian market has huge potential in technical textiles, and by far,...
Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...
Aditi Somani specialises in luxury fusion wear with international cuts and ...
"We should not compare India and the West. There are things we do that...