Can Can Lingerie to acquire growing web retailer to drive growth

03 Feb '09

2 min read

Can Can Lingerie Holding AG (CCH), a company listed on the Frankfurt Stock Exchange, have entered into an agreement to purchase all the Intellectual Property and to license the brand name (TJ Maxx) associated with the e-tailing website.

TJ Maxx is a leading discount branded website in Australia and offers many unique opportunities for growth,The CEO of Can Can Lingerie Holding AG Mr Michael Pakula said “this acquisition perfectly supports our growth strategy and will compliment our planned international brand rollout strategy”.

The transaction is due to be settled within 60 days. The benefits of the transaction are a strong business model that:
• shows existing revenues;
• shows increasing monthly revenues;
• is currently cash flow positive and;
• is scalable into all International Markets.

Flowing from this transaction, CCH has upgraded its internal 2009 projections to include forecast sales increases of over 280% and a pre-tax profit increase of over 150%. Further, 2010 internal projections have been increased by over 180% and 125% respectively and 2011 by over 175% and 125% respectively.

CCH will release further details about this acquisition after settlement.

Mr Pakula said “This acquisition also provides for multiple income streams and the IP fully supports additional e-tailing opportunities for both B2B and direct to consumer opportunities”.

Further, CCH wishes to advise that it is at an advanced state of negotiations and has received a firm offer for a fully underwritten issue of additional equity in the Company.

Can Can Lingerie Holding AG

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