Hugo Boss takes over franchise stores in the UK
The German fashion business, Hugo Boss, has announced that it is purchasing 15 franchise stores from its largest franchisee in the UK, Moss Bros. According to the information provided, the transaction, which will come into force on 01 April 2011, will also include the London-based shops on Regent Street and New Bond Street.
With this 19.5-million takeover, Hugo Boss is looking to, among other things, increase its control over the market presence of its brand in the UK. Hugo Boss UK has, it says, been very successful in building up its own chain of retail stores over the last few years. For this reason, the time was now right to integrate the franchise shops owned by Moss Bros into its network. As a result of this takeover, Hugo Boss will have 35 company-owned stores in Great Britain.
There are currently over 1,400 Hugo Boss stores in more than 80 countries. Around 1,050 of these are run by franchisees. In 2010, the group had a turnover of 1,729 million euros, an eleven percent increase compared to the year before. According to Hugo Boss, last year was the most successful in the company’s history. (kbp)