Kathmandu continues to accelerate in a tough Australian retail market by this week announcing the purchase of US-based footwear wholesaler Oboz.
The AU$97 million (US$75 million) acquisition of the hiking boots business comes after Kathmandu announced a 23 percent increase in net profit (to NZ$12.3 million) for the six months ended 31 January 2018.
In an industry that is expected to have one of the highest degrees of digital disruption by 2020 it’s fantastic to see bold strategies implemented by savvy retail business leaders.
Diversification is a fundamental strategy in smart investing and this is exemplified by the NZ-based retailer’s large leap into both international markets and an interdependent product category.
Kathmandu has also recently joined online marketplaces Amazon AU and Tmall Global, showing that Australian retailers can still prosper by adapting to an evolving environment.
By selling the Kathmandu brand through leading US and European bricks and mortar stores, as well as using Oboz’s expertise and relationships, Kathmandu CEO Xavier Simonet will continue to accelerate a thriving business into international territories.
Opportunities are alive for smart Australian retailers to remain buoyant in a challenging environment and there is still room for growth.
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