American Apparel Acquires Beachwear Brand
Financial Terms Of The Deal Were Not Disclosed
Counselor Top 40 supplier American Apparel (asi/35297) has acquired California-based surfwear brand Warriors of Radness (WOR), the companies have announced. Financial terms of the deal were not disclosed. Founded by Rick Klotz, who also owns streetwear brand Freshjive, Warriors of Radness sells '80s-inspired, eclectic beachwear, including T-shirts, shorts, sleeveless tops, pants and jackets. "We now have the muscle of an almost $600 million behemoth of garment manufacturing behind us," read, in part, a statement released by WOR.
WOR recently designed a special collection of pieces for retailers Opening Ceremony and Ron Herman and has previously struck partnership agreements with large labels like Dockers. American Apparel has not announced when or how the WOR line will be added to its offerings. It is also not known what role WOR designers will play in future production.
American Apparel reported strong second-quarter 2012 overall sales that increased to $140.2 million, a year-over-year gain of 12%. The supplier's wholesale division, which includes its promotional industry performance, generated a net sales increase of 8% in June and 10% overall in Q2. American Apparel ranks as the 16th-largest supplier in the industry after reporting 2011 North American ad specialty sales of $90.2 million.