Salvatore Ferragamo is working to strengthen its presence in Asia. The Italian luxury label has acquired a 100% stake in 4 joint-enterprise firms created in partnership with Trinity Ltd (of the Li & Fung group) that handle Ferragamo distribution in South Korea and South-East Asia, the place the trend label presently operates 70 monobrand stores.
The Florence, Italy label has stated in a press launch it has bought the companies20% share nonetheless owned by Trinity, via Trinity Luxurious Manufacturers Holdings Ltd and Ferrinch (L) Ltd. The value of the transaction was not disclosed.
The deal impacts Ferragamo Korea Ltd, Ferragamo (Malaysia) Sdn. Bhd., Ferragamo (Singapore) Pte Ltd and Ferragamo (Thailand) Ltd, and is part of an agreement signed in 2012, which includes a purchasing possibility permitting Salvatore Ferragamo to take full management of the joint-venture firms.
On the time, Ferragamo had already increased its stake in the four corporations, which amounted to eighty%. The financial sluggish-down in Asia has undoubtedly urged Hong Kong retail giant Li & Fung to sell the remaining stock.
In the previous couple of years, the Asia-Pacific region has develop into Salvatore Ferragamo’s primary market, accounting for 35.5% of its global revenue. As of 30th September 2016, the label’s sales within the region amounted to 60 million, equal to a zero.3% lower in comparison with the first 9 months of the earlier fiscal 12 months.