Deichmann acquires American shoe chain KicksUSA
today Mar 18, 2019
German shoe retailer Deichmann is driving growth in China and the US through a series of initiatives, including the acquisition of shoe chain KicksUSA and its 64 stores, which will be run under the Snipes brand.
Last week, Deichmann reported an increase in revenues to 5.8 billion euros, up 2% at constant currency. Worldwide, the company sold 178 million pairs of shoes during 2018 - 1.4 million more than in the previous year.
Deichmann said the KicksUSA acquisition is the biggest transaction in its history. In addition to an online shop, the chain operates over 60 stores on the East Coast, in cities including Philadelphia and New York, and in the state of New Jersey. Snipes, which appeals to a similar target group as KicksUSA, has been a part of Deichmann since 2011 and operates 230 stores in nine European countries.
“We have made a considerable investment in the US because, backed by our many years of market knowledge, we are convinced that we can make an impact here, in a segment that promises long-lasting growth,” Heinrich Deichmann, chairman, said.
The German company has had a presence in the US since the 1980s, when it acquired Lerner Shoes, a brand which later evolved into Rack Room Shoes. In 2001, Deichmann bough shoe brand Off Broadway, taking the total number of stores it operates in the US to over 520 locations.
Deichmann also announced this week that it will be launching in China in partnership with Tmall Global. A selection of its range is expected to become online via Tmall in the first half of the year.
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