August 14, 2017
ROOTS Advisory Advises the Shareholders of the Fashion Brand MEXX on its sale to RNF Group, Netherlands.
ROOTS Advisory GmbH, Frankfurt, has advised Eroğlu Group, one of the largest holding companies in Turkey in the field of apparel and real estate, on the sale of the fashion brand MEXX to RNF B.V./ Netherlands. The transaction also includes the global perfume business MEXX Fragrance operated under a long term licensing agreement by beauty products giant COTY. Terms of the transaction were not disclosed.
The acquisition of MEXX have been incorporated in a newly formed MEXX International BV under the RNF Holding umbrella.
This transaction is in line with Eroğlu’s strategy to refocus its apparel and accessories business back to their core brands Colin’s and Loft. Colin’s operates 600 stores in 38 countries and Loft runs 86 stores in 10 countries.
ROOTS Advisory initiated the transaction and served as the exclusive financial advisor to MEXX and Eroğlu Holding throughout the acquisition process, providing advisory expertise and assistance in the initiation, the due diligence, as well as during the negotiation phase of the transaction.
ABOUT MEXX
MEXX is an international lifestyle brand originating from the Netherlands. It designs quality fashion and accessories for men, women and children. Based in Amsterdam, the brand is engaged in the marketing, wholesale and licensing of fashion products in the mid-priced contemporary market segment. It has its origins in the 1970s, when fashion designer Rattan Chadha and his business partner Adi Advaney began supplying private-label clothing to department stores and wholesalers in the Netherlands. This resulted in 1980 in the creation of two well-known Dutch clothing brands - Moustache for the men's brand and Emanuelle for the women's brand. These two brands were combined in 1986 to create MEXX. The company created a new name using M (from Moustache) plus E (from (Emanuelle) plus XX (an abbreviation for "kiss kiss" ).
Ever since the brand's slogan has been "Starting with a kiss” and it became a one billion revenue brand in the 1990s.
ABOUT THE RNF GROUP
RNF B.V. is a Dutch enterprise with its origin in 1996, the year Ferro Footwear B.V. was founded. Ferro Footwear is a producer and wholesaler of casual and sporty shoes for women, men and children, and has become one of the largest market players in Europe. With headquarters in Drunen, the Netherlands, and an office in China, the company supplies large, well-known retailers worldwide, ranging from Europe and Russia to the Middle East, the US, and Canada.
The activities within the group are divided into the following business units:
Brand Licensing: UMBRO and SCOUT(Footwear)-licensee business for Germany, Austria, Switzerland, Belgium, Luxemburg and Netherlands
Non-Branded Footwear and Accessories: FERRO FOOTWEAR
Men’s, Women’s and Kid’s Fashion: Newly acquired global MEXX brand
IN A NUTSHELL:
Ferry Helmer, CEO of RNF B.V., commented:
“MEXX ticked a lot of boxes for us: an authentic brand with a distinctive positioning, strong heritage as well as global brand recognition to leverage, We are proud to bring MEXX back into Dutch hands.
At RNF we see immense potential for MEXX to play a highly relevant role in today’s fashion and accessories landscape and are very much invested in its reinvigoration.”
Ümit Eroğlu, Eroğlu Group commented:
I would like to thank all parties involved, we appreciate the considerable efforts that were made to the benefit of this transaction. We are convinced that FERRO Footwear will be a good home for MEXX. The ROOTS team led by the Managing Partner Ali Taşbaşı has contributed significantly to the success of this important transaction”.
ABOUT ROOTS ADVISORY GMBH
ROOTS Advisory is a Frankfurt based independent advisory firm. Founded in 2017, the firm advises its clients on M&A/Corporate Finance transactions in the mid-cap segment. The team of ROOTS has extensive experience and has built up an impressive track record over many years in Corporate Finance and M&A.
