RAGTRADER: Assia Benmedjdoub
SYDNEY: Metalicus is set to ramp up its national retail presence, develop a national concession model and expand into e-commerce following a multi-million dollar shot in the arm.
As first reported on Ragtrader Online, the Melbourne-based bodywear label has been acquired by wholesale apparel group PAS after a four-month period of negotiations. Metalicus, which currently supplies 600 international retailers and has five confirmed stand-alone stores, was first placed on the market five months ago.
It is understood the acquisition will drive the PAS Group’s annual earnings before interest, tax, depreciation and amortisation to more than $45 million. The move also marks the wholesaler’s sixth major purchase in the last two years with PAS signing an agreement to purchase childrenswear label Chino Kids in September last year.
While PAS Group chief executive officer Eric Morris declined to comment on the value of the latest acquisition, he said the company would utilise its resources to expand the number of Metalicus’ stand-alone stores, develop a concession model throughout Australia and grow its e-commerce sector.
“We will also look at firming up international distribution,” he said. “We want to enhance the company’s operations rather than change them – if it’s not broken, don’t fix it.”
Metalicus founder Melma Hamersfeld, who will sit on the company’s board of directors, said she wanted to expand the label’s childrenswear and teen categories and discuss potential venture in menswear. During an interview with Ragtrader in September, Hamersfeld said she also wanted to boost the brand’s wholesale growth within Australia, New Zealand and the international market by 40 per cent within the next twelve months.
“Metalicus is on its way to shift from being an iconic and very successful Australian business to being a strong player in the international fashion world,” she said. “The history of the brand demonstrates that the product is truly innovative.”
Hamersfeld added she had no qualms in handing the business over, arguing that PAS had “more knowledge and more resources” to push the growth of Metalicus.