Li & Fung agrees to buy German supplier for US$51 mln

Dec. 1, 2008 (China Knowledge) - Hong Kong-listed Li & Fung Ltd<494>, the world's leading consumer goods exporter, announced yesterday that it has agreed to pay US$51 million for Miles Fashion, a German supplier to discounters and retail chains in Europe, the South China Morning Post reported on Monday.

Li & Fund said in a statement that the acquisition amid the current financial crisis was expected to help the company establish its leadership position in Europe.

Miles Fashion is principally engaged in selling clothes, footwear and outdoor products, and its net sales for 2007 reached US$230 million.

Li & Fung President Bruce Rockowitz said last month that the company would stick to its aggressive acquisition strategy to further boost its sale growth in the second half of this year despite the global financial turmoil and economic recession, China Knowledge reported earlier.
 
Reportedly, Li & Fung has been involved in bidding for a 15% stake in Future Logistics Solution Ltd, a logistic and supply chain subsidiary of India-based Future Group.

In August, it had clinched a deal to acquire the U.S.-based handbag importer Van Zeeland Inc to become a leading handbag supplier in the U.S., as per industry sources.