Japanese fast fashion brands take over Vietnamese brands
Japanese fast fashion brands take over Vietnamese brands
After Stripe International’s purchase of NEM, Vietnam saw another deal between a Japanese fast fashion brand UNIQLO and local women’s apparel company Elise.
The deal has been completed, with Elise getting tens of millions of dollars in the deal. While the exact figure has not been disclosed, it is believed to be much higher than Elise’s entire charter capital.
The acquisition comes after UNIQLO announced to launch in Vietnam on August 30, with plans to open its first store in Ho Chi Minh City during the fall of 2019. UNIQLO will begin recruiting local talent as it prepares to open its store in one of the region’s most exciting, high-growth economies.
"Our entry into Vietnam is an exciting milestone for everyone at UNIQLO. Southeast Asia has been an important driver of growth for us, and we are pleased and optimistic about this opportunity to be part of such an exciting economy and retail market,” said Tadashi Yanai, chairman, president, and CEO of Fast Retailing Co., Ltd., the parent company of UNIQLO.
Regarding the plan to expand its operation in Southeast Asia and Oceania, the company plans to open 400 stores in the region by 2022. It is also expected to triple its existing revenue to $2.71 billion by August 2022.
At present, the company’s store network reaches 20 markets on four continents with a total of 2,000 stores.
This acquisition came right after the deal between Stripe International and NEM, whereby the former took over the NEM women’s fashion brand.
In October 2017, Stripe International set up Hanoi-based subsidiary Stripe Vietnam JCS, as part of its plan to take over NEM Group’s apparel business assets.
Stripe Vietnam has a registered capital of VND175 billion ($7.6 million). The value of the deal was not disclosed.
Established in 2002, NEM Group operates 44 retail outlets, with nearly half of them in Hanoi and Ho Chi Minh City. It focuses on fashion for office-working women aged between 20 and 40 years old.
Stripe International wanted to take over the fashion business of NEM since it owns the NEM women’s fashion brand, which has huge potential with 44 stores across the country and its target customers being women aged 20-40.
