Gerry Weber acquires franchised stores in Norway

Gerry Weber International has acquired eight Houses of Gerry Weber

as well as 17 multi-label stores in Norway. Under the transaction structure, the company will acquire 100 percent ownership of the Norwegian company operating the stores at a total amount of 115.75 million Norwegian Krone (about 19.3 million dollars). In addition, both the parties have also agreed an earn-out clause providing for a maximum of 20 million Norwegian Krone (3.3 million dollars), in extraordinary payments, subject to the attainment of certain pre-defined sales and earnings targets in the financial year 2018.

“We see substantial potential for our three brand families – Gerry Weber, Taifun and Samoon - in the Norwegian market. Between 10 and 15 new Houses of Gerry Weber are to be opened in Norway over the coming years. During this time we will also expand the Gerry Weber spaces in the acquired multi-label stores and assess their potential for conversion into branded Gerry Weber Group stores,” opined Ralf Weber, the Managing Board member in charge of Retail operations at Gerry Weber International.

The first franchisee-operated House of Gerry Weber was opened in Norway in 2005 and the retail concept was steadily expanded in the following years. All eight stores acquired as well as the 17 multi-label stores operated under the ‘Chantal’ name are in prime locations of Norway. The acquired companies will be fully consolidated by the Halle/Westphalia-based Gerry Weber Group. Local management will now work with company’s Norwegian partner, who will continue to support the ongoing expansion in Norway.