Global Brands revenue down 4.1% in H1 FY2019

The company also completed sale of select North American businesses by October 29, 2018 and the estimated price of $1.2 billion in cash was received, according to a media statement from the company.

At the same time, in line with its broader strategy of focusing on its core business, Global Brands has also agreed to sell its loss-making kids’ business in China to the controlling shareholders for a cash consideration of $20 million, representing the net tangible asset value of the business as at September 30, 2018.

“We are now a financially stronger and more nimble organisation able to adapt to a rapidly changing environment,” said Dr. William Fung, chairman of Global Brands. “Despite significant levels of disruption, both from an industry and a macroeconomic perspective, we are well-positioned to focus on growing our core businesses and take advantage of the opportunities ahead. I am very confident about the company’s prospects.”

“The divestments we have made have significantly reduced our working capital requirements and improved our balance sheet. We are also in the midst of implementing a substantial restructuring programme to reduce operating expenses and improve efficiencies. Going forward, we will build on the strengths of our portfolio of brands, and expand our global brand management business, particularly in Asia,” said Rick Darling, chief executive officer of Global Brands. (PC)

ALCHEMPro News Desk – India