NEW YORK--(BUSINESS WIRE)--
G-III Apparel Group, Ltd. (NASDAQ:GIII), a leading manufacturer and
distributor of apparel and accessories under licensed brands, owned
brands and private label brands, announced that it was partnering with
Fred Gehring's investment fund, Amlon Capital BV ("Amlon"), to produce
and market women's and men's apparel and accessories pursuant to a long
term license for DKNY and Donna Karan in the People's Republic of China,
including Macau, Hong Kong and Taiwan.
The joint venture, of which G-III will own 49% and Amlon the balance,
will be funded with $25 million of equity that will be used to
strengthen the DKNY and Donna Karan brands and accelerate growth of the
business in the region. As of January 1, 2018, this joint venture will
be the exclusive seller of the brands in the territory.
Fred Gehring, former Tommy Hilfiger Chairman and Chief Executive Officer
and former PVH Vice Chairman, will be Chairman of the joint venture and
Steve Shen, former Chief Executive Officer of Tommy Hilfiger China, will
be the Chief Executive Officer of the joint venture.
Morris Goldfarb, Chairman and Chief Executive Officer of G-III, said,
"In our industry, Fred has no peer and his tenure at Tommy Hilfiger and
PVH is a testament to that. He is a great partner with us on the Karl
Lagerfeld brand. We are excited to extend this strong partnership and
work with him and his team on growing the DKNY and Donna Karan brands in
China. Steve's track record in China is outstanding. We are looking
forward to collaborating with these accomplished retail industry
veterans to aggressively grow our business in the greater China region,
which is a major strategic opportunity for us."
Fred Gehring commented, "DKNY and Donna Karan are truly global iconic
fashion designer brands. There are only a few brands with similar
authenticity and standing. I am excited to extend my partnership with
G-III to invest and grow the business with these brands in China. My
long-term business partner Steve Shen, who successfully built Esprit and
then Tommy Hilfiger in China, will lead the business for us. He did an
amazing job for Esprit and Tommy Hilfiger and I am confident that he
will be equally successful with the DKNY and Donna Karan brands."
Steve Shen added, "There is huge growth potential for the DKNY and Donna
Karan brands in China. I look forward to working with Fred and his
partners at Amlon again and to be joining forces with Morris and G-III
on this exciting opportunity."
About G-III Apparel Group, Ltd.
G-III is a leading manufacturer and distributor of apparel and
accessories under licensed brands, owned brands and private label
brands. G-III's owned brands include Donna Karan, DKNY, Vilebrequin, G.
H. Bass, Andrew Marc, Marc New York, Eliza J and Jessica Howard. G-III
has fashion licenses under the Calvin Klein, Tommy Hilfiger, Karl
Lagerfeld, Kenneth Cole, Cole Haan, Guess?, Vince Camuto, Ivanka Trump,
Kensie, Levi's and Dockers brands. Through its team sports business,
G-III has licenses with the National Football League, National
Basketball Association, Major League Baseball, National Hockey League,
Hands High, Touch by Alyssa Milano and more than 100 U.S. colleges and
universities. G-III also operates retail stores under the DKNY, Wilsons
Leather, G. H. Bass, Vilebrequin, Calvin Klein Performance and Karl
Lagerfeld Paris names.
Statements concerning G-III's business outlook or future economic
performance, anticipated revenues, expenses or other financial items;
product introductions and plans and objectives related thereto; and
statements concerning assumptions made or expectations as to any future
events, conditions, performance or other matters are "forward-looking
statements" as that term is defined under the Federal Securities laws.
Forward-looking statements are subject to risks, uncertainties and
factors which include, but are not limited to, reliance on licensed
product, reliance on foreign manufacturers, risks of doing business
abroad, the current economic and credit environment, the nature of the
apparel industry, including changing customer demand and tastes,
customer concentration, seasonality, risks of operating a retail
business, customer acceptance of new products, the impact of competitive
products and pricing, dependence on existing management, possible
disruption from acquisitions, risks relating to G-III's acquisition of
Donna Karan International Inc. and general economic conditions, as well
as other risks detailed in G-III's filings with the Securities and
Exchange Commission. G-III assumes no obligation to update the
information in this release.
About Amlon Capital BV
Fred Gehring set up Amlon (www.amlon.com)
in 2016 together with partners from his time at Tommy Hilfiger and
private equity firm Apax Partners that took Tommy Hilfiger private in
2006. Amlon is a private investment vehicle which invests in apparel and
accessory brands and already has stakes in Karl Lagerfeld, Denham Jeans
and kids wear brand Vingino.
View source version on businesswire.com: http://www.businesswire.com/news/home/20170823005684/en/
Investor Relations:
James Palczynski, 203-682-8229
or
G-III
Apparel Group, Ltd.
Neal S. Nackman, 212-403-0500
Chief
Financial Officer
Source: G-III Apparel Group, Ltd.
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