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    Underwear Giant Wacoal Bought The US Internet Underwear Brand For 4 Years

    2019/8/2 10:50:00 0

    WacoalUnderwear

    Wacoal Holdings Corp, Japan's underwear and textile giant, announced that it had reached an agreement that it would buy Intimates Online Inc. of the American underwear company operating Lively brand for us $85 million for us $Holdings.

    Intimates Online, founded in 2015 by Michelle Cordeiro Grant, currently owns stores in New York and Chicago, and has its own e-commerce platform. In fiscal year 2018, the company's sales amounted to $11 million 490 thousand, but a net loss of $3 million 682 thousand.

    Wacoal will buy all the shares of Intimates Online through Wacoal International Corp., the US subsidiary. The acquisition of Intimates Online is part of the group's accelerated overseas expansion plan.

    In a statement, Wacoal said: "in the summary of the interim management plan (FY2019-FY2021) issued in June 2019, we are clear that Wacoal's vision is to become a global group. We are implementing the following strategies to achieve the goal of increasing sales and profitability: to achieve sustainable growth and enhance our profitability; to revitalize some domestic subsidiaries; and to accelerate the expansion or growth of overseas businesses. In our overseas business, the United States is a market that is expected to achieve high growth, but the market environment in the United States is undergoing tremendous changes. In recent years, with the diversification of consumer preferences, the change of distribution channels and the rise of new communication tools, the digital vertical brand (DNVB) has been supported by the millennial generation.

    Wacoal group, which is based in Kyoto, Japan, hopes to achieve rapid growth in the US. They regard the Lively brand as a strategic acquisition to enter the US market. Because Lively is a digital vertical brand that always keeps pace with industry trends.

    Wacoal emphasized in particular that the group will use e-commerce channels, social media portals and brand ambassador projects to highlight the brand's concept of "supporting women's independence through commercial activities". While accelerating growth, Wacoal is also committed to providing services to consumers of different ages. At present, Wacoal's core customers are generally very large, so the group hopes to use Lively brand's experience in e-commerce and digital marketing to attract young consumers, especially the millennial consumer groups.

    Through this transaction, Intimates Online will also benefit from the design and manufacture of the new parent company.

    Author: Jin Daiqian

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