B$Z: Billabong Announces the Sale of West 49
November 5, 2013
Billabong Announces Sale of West 49
Press Release from Billabong
Billabong announces that it has entered an agreement to sell its Canadian retail chain, West 49, to YM Inc., a leading fashion retailer with a number of highly successful stores including Stitches, Urban Planet, Sirens, Siblings, Suzy Shier and Bluenotes. As part of the sale the two parties have also entered into an initial two-year supply agreement.
YM will purchase the 92 West 49 retail stores across Canada for approximately CAD$9 to 11 million. Along with retaining six Billabong stores and two Element stories in Canada, Billabong has also entered into an approximately CAD$34 million non-exclusive wholesale agreement with YM over the next two years.
"The sale of West 49 is part of our broader strategy of simplifying our business and focusing on the core of what we do best, which is building strong global brands,” said Neil Fiske, CEO of Billabong. “The supply agreement we’ve entered into ensures our products will continue to have a strong presence for consumers in that market.”