Steven Madden Ltd announced that the Company has acquired Compo Enhancements, Steven Madden Ltd's outsourced e-commerce solutions provider, and appointed its founder and CEO, Jeffrey Silverman, 45, as President of Steven Madden, Ltd. Mr. Silverman will report directly to Jamieson Karson, Chairman and Chief Executive Officer.
Compo Enhancements, based in Connecticut, was founded in late 2005 to provide e-commerce solutions for Steven Madden, Ltd. This acquisition enables Steven Madden, Ltd. to fully integrate its e-commerce business into the Company's Retail division and operate its online business internally.
All Compo Enhancements employees will be transitioned to Steven Madden, Ltd. The transaction is expected to be immediately accretive, contributing approximately $0.01 - $0.02 in earnings per diluted share in 2007.
"We are very pleased with the acquisition of Compo Enhancements, which will enable us to incorporate our important e-commerce business into our internal operations," said Jamieson Karson, Chairman and Chief Executive Officer of Steven Madden Ltd.
"We expect this to be a smooth transition, given our existing strong relationship with Compo Enhancements and its employees. Through our partnership with Compo, our e-commerce capability has consistently contributed to our top-line growth and profits in the last year and we view this acquisition as a natural progression in expanding our already successful online business. Further, direct ownership of our online business represents an effective use of our cash that will drive immediate value to our shareholders."
marketing@alchempro.com
