Marquee Brands ties up with Fosun for Chinese market entry
today May 29, 2019
Marquee Brands has taken a significant step towards its capture of the Chinese market. The American group has just signed a contract with China’s Fosun, according to Women’s Wear Daily, for the distribution of four of its brands: Ben Sherman, BCBG Max Azria, BCBG Generation, Dakine and Bruno Magli. The contract will be effective from next year.
Fosun is a conglomerate active in a number of sectors ranging from real estate, banking and insurance to leisure and tourism, with its “Happiness” division. In 2018, the group bought Wolford following the acquisition of Lanvin. It will soon become the owner of the total share capital of Tom Tailor. For the fiscal year 2017, the group recorded revenue of €11.3 billion, up by 19%, with a profit of €1.69 billion, up 28%. In February, Fosun announced the creation of the Fosun Fashion Brand Management Company, “a structure designed to accompany brands hoping to capture the Chinese market.” The deal with Marquee Brands appears to be a step in the implementation of the aforementioned corporate structure.
“As the global landscape of retailing changes, there is little doubt that it changes faster in China than any other market,” Michael DeVirgilio, president of Marquee Brands, told WWD. “We made the strategic decision to partner with a strong organization with local operational expertise as the best approach to introduce our brands to this very dynamic market.”
The deal does not include the New York-based Marquee Brands’ Body Glove, Martha Stewart or Emeril Lagasse brands.
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