NEW YORK — So far, 2004 is turning out to be a blockbuster year for apparel mergers and acquisitions.

According to data compiled by Factset Mergerstat, the 108 deals in the first half of 2004 had a total disclosed value of $5.83 billion, a 110.4 percent gain over the 100 deals valued at $2.77 billion in the same period last year.

In 2003, the 182 disclosed deals, both here and abroad, reached $4.54 billion, according to revised data from Factset, which is a leading provider of U.S. and international M&A information to the investment banking and corporate markets.

The latest data also show 2004’s first half outpacing 2001’s full-year transactional total of $5.77 billion on 158 deals. The dollar amount for the first six months of 2004 for announced deals is also more than half of the total value of deals — $8.57 billion on 152 marriages — in 1999, a stellar year for mergers and acquisitions.

Of course, the number of deals in the first half of 2004 include Pinault Printemps Redoute’s $3.5 billion swallow of Gucci Group in March, which will likely remain the deal of the year as far as dollar volume. Following Gucci, the second-highest transaction was VF Corp.’s $396 million acquisition of Vans Inc. Jones Apparel Group took third place with its $345.52 million buy of Maxwell Shoe Co. Inc. Polo Ralph Lauren followed with its acquisition of RL Childrenswear Co. for $250 million in a deal announced in May.

Of the 108 deals so far this year, U.S.-based firms led way, with 34 on the buy side. Following the U.S. lead for buyers, Hong Kong-based firms led the way among Asian firms at 12. Malaysia and Japan were next, with each country having 8 firms involved in purchase agreements. Among the European countries, Italy was first at 7 transactions, followed by France with 5 deals.

U.S.-based firms also led the way among sellers, with 31 companies looking for marriage partners. Japanese firms came in second, with 10 companies seeking a merger. Hong Kong was third, with 6 firms, and Chinese and Malaysian firms tied at five companies from each country. Among the European firms, Italy again beat out France, at nine and six, respectively.

To Read the Full Article
SUBSCRIBE NOW

Tap into our Global Network

Of Industry Leaders and Designers

load comments
blog comments powered by Disqus