Mar 25, 2015 (LBO) – Sri Lanka’s Odel Plc, one of the island’s largest fashion retail outlets,acquired Softlogic group’s branded retailing unit for 599.9 million rupees looking at purchasing power of customers in the island, the company said in a stock exchange filling.
The statement said, the action was taken in a move to integrate their retail assets.
Odel Plc had bought 99.99 percent of Softlogic Brand (Pvt) Ltd, from Softlogic Retail (Pvt) Ltd and Dai-Nishi Securities (Pvt) Ltd, subsidiaries of Softlogic Holdings PLC.
Softlogic Brands has over 41,000 square feet of prime retail space in Colombo in which 20 brands are being retailed.
“The group decision to enter into this transaction was mainly inspired by the post acquisition synergies, industry growth and favorable macro economy condition such as increasing purchasing power of consumers and the growth in the tourism industry ” the statement said.
Odel will also settle 1.1 billion rupees due to Soflogic Retail by Softlogic Brands on or before 31st March 2015, the statement said.