Delta Galil Industries Ltd. (Pink Sheet: DELTY; TASE: DELT) today announced the acquisition of US children's brand LittleMissMatched. The brand, which targets girls aged 6-17, was founded in 2003 as a line of non-matching socks sold in odd numbers, and subsequently diversified into other products for children.
LittleMissMatched is characterized by colorful and trendy products, which are sold through a chain of 13 stores in the US. The flagship store is on New York's Fifth Avenue. The company also sells online. It also has a store in Tokyo and in Chile. Its annual turnover is reportedly $20 million.
Delta Galil acquired LittleMissMatched through Delta Galil USA, which seized the opportunity created by the brand's need for a long-term investor. This is Delta Galil's third acquisition so far this year. In July, it acquired German lingerie company Schiesser AG for $85 million. In June, it acquired the assets and label of Karen Neuburger KN for $4 million.
Delta Galil recently began producing socks for LittleMissMatched on a limited scale. With the closing of the deal, Delta Galil will assume all socks production.
Delta Galil CEO Isaac Dabah said that LittleMissMatched would give the company a much stronger foothold in the children's market. He also intends to turn the brand into a lifestyle brand with an emphasis on infants and children, and to expand it to other categories.
Dabah says that there are no immediate plans to expand LittleMissMatched internationally, but it cannot be ruled out that Delta Galil will seek to sell the brand in Israel.
Published by Globes [online], Israel business news - www.globes-online.com - on December 10, 2012
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