City Chic Collective Ltd recently announced acquiring the Evans brand and its e-commerce and wholesale businesses for £23.1 million in cash. Evans is a UK retailer of women’s plus-size clothing. The Evans assets will be acquired from Evans Retail Limited and certain other entities within the Arcadia group, which entered into administration on November 30.
The acquisition will be completed on December 23 this year, subject only to payment of the cash consideration.
Phil Ryan, chief executive officer and managing director of City Chic said: “I have followed Evans for over a decade and seen how within Arcadia’s portfolio the brand has evolved from a dominant high street retailer into a more digitally focused business. We had a successful partnership with Evans for many years which was a great channel for the City Chic brand in the UK. Evans gives us an excellent foundation in a new geography to grow our collective and is a brand which aligns with our existing product streams.”
“The acquisition meets our strategic objective of growing through global customer acquisition, digitally, and in the $50-billion curvy apparel market. In addition to providing a launching pad into a new market, we are confident we can deploy our lean, customer-centric operating model to drive revenue growth and cost efficiencies in the existing business,” he said in a press release.
City Chic will acquire the Evans brand and intellectual property, customer base and inventory, which represents the key assets of the e-commerce and wholesale businesses.
City Chic will also receive the benefit of a transitional services arrangement in connection with the Evans e-commerce business until April 2021. The transaction excludes the Evans brick and mortar store network of over 100 locations in the United Kingdom.
The administrators are entitled to trade from the existing Evans stores until the end of March 2021 to liquidate existing stock in the stores. The franchise business, based primarily in the Middle East, is also excluded from the acquisition.