Ke Eli Till Bought Keen Reach High-End Women'S Clothing Business For HK $2 Billion 400 Million.

According to the recent announcement of the acquisition by Ke Eli Till, the fashion group of China, it will buy all the issue shares of Keen Reach and shareholders' loans to Apex Noble at HK $2 billion 387 million.

Apex Noble is directly owned by Mr. Ke Eli Till, chairman, chief executive officer and executive director of the group.

It is understood that the deal is paid for more than 198 million shares at HK $500 million and HK $1 billion 887 million per share at $9.5 per share, while the price per share price is about 2.15% over the 25 day purchase price.

At the same time, the new shares account for about 40.86% of the existing share capital of the company, and the shares account for about 29.01% of the enlarged share capital, making Jin Rui the second largest shareholder.

Ke Eli Till said that the acquisition could enable the group to use Keen Reach's existing network and resources, such as strong design and product development capabilities, effective brand and marketing channels, and proper retail management system to help the group reduce procurement costs.

It is reported that Keen Reach is holding Shenzhen Nals Fashion Co., Ltd. through its leading and domestic Affiliated Companies. It is mainly engaged in the design, retail and wholesale of high-end women's clothing products of 3 private brands of Nals, naikou and erling. Its net profit increased by 56% to 162 million yuan last year.

Some market analysts pointed out that China's high-end women's clothing market is developing rapidly and has great potential. This paction can bring more opportunities for Ke Eli Till.

Meanwhile, the company name will be changed from "Letil Holdings Limited" to "winner fashion Holdings Limited".

At present, the company has focused on its proprietary retail stores. By the end of 2018, 862 retail outlets were set up, of which 641 were self operated retail outlets while 221 were operated by distributors.

It is noteworthy that the company released a new financial report in 2018. Its sales in 2018 increased by 14.39% to 2 billion 521 million yuan (RMB, the same below), the net profit increased 7.59% to 272 million 800 thousand yuan, and the gross profit increased 15.50% to 1 billion 803 million yuan, and the gross profit margin was 71%.

And profit attributable to shareholders increased by 7.59% to 273 million yuan over the same period, with a basic earnings of 56 cents per share and a final dividend of HK $32 per share.

Among them, direct retail revenue accounted for 81% of total sales, while the electricity supplier income amounted to 208 million yuan, accounting for 8.25% of the total revenue, mainly from Tmall, vip.com and other three party e-commerce platform.