MPH.L Regulatory News (MPH)

21 Aug 2006 07:00

Marchpole Holdings PLC21 August 2006 MARCHPOLE HOLDINGS PLC ("Marchpole" ) Acquisition of unique lifestyle brand Homebody Marchpole Holdings plc, the fast growing fashion brand management group, ispleased to announce that it has today agreed to acquire the luxury clothingcompany Homebody Limited. Homebody, which was founded in 1997 by Beverley Calvert, designs, manufacturesand distributes a luxury lifestyle collection of ladieswear, maternity wear andmenswear designed by Beverley and Susannah Draper. Marchpole has acquired an initial 51 per cent interest in Homebody with theremaining 49 per cent being acquired after three years based on an earn outformula. The maximum aggregate consideration for the acquisition will not exceed£1.35 million. The initial consideration will be satisfied in cash from theCompany's existing resources and the final consideration will be satisfied inMarchpole shares, cash or a combination of the two at Marchpole's discretion. Beverley Calvert and Susannah Draper will remain at the creative helm of thebusiness and will continue to develop their brand with Marchpole. Homebody, which has wholesale, retail and internet customers, has secured aunique position in the lifestyle category and is a fast growing brand in the UKand US. Marchpole will build the brand throughout Europe and the US throughincreased distribution outlets, leveraging the demand for the excellent designsand creativity of Homebody The Homebody collection is stocked in Selfridges and Harrods as well as topboutiques across the UK. International stockists include Neiman Marcus and FredSegal. The collection is featured regularly in Vogue, Glamour, Grazia andHarpers Bazaar and has a significant celebrity following. Michael Morris, Executive Deputy Chairman of Marchpole, commented : "We are delighted to be integrating Homebody into the Marchpole collection ofglobally recognised fashion labels. The acquisition is another significant steptowards the evolution of the company into an international brand managementgroup. We believe that there is considerable growth potential for the Homebodybusiness. We have proven expertise in sourcing, manufacturing and marketing anda worldwide distribution capability, which allied to the design strengths of Beverley and Susannah, will accelerate that growth." For further information, please contact : Emma KentBell Pottinger Corporate & Financial 020 7861 3232 John Harrison, Finance DirectorMarchpole 020 7908 7777 Note to Editors : • Marchpole Holdings plc ("Marchpole") is an international brand management group that designs, produces and sells clothing and accessories for eight globally recognised fashion labels. It operates in all of the world's main markets - UK, mainland Europe, Asia and the USA • Its respected brands include YSL, Boateng, Emmanuel Ungaro, Ungaro, Jean-Charles de Castelbajac ("JCC"), Jean-Charles de Castelbajac / Rossignol, Jean-Charles de Castelbajac/Okaidi and Homebody • Marchpole is renowned for its integrated approach to brand management, taking a brand from concept to design studio to the customer interface. It is not a clothing manufacturer • The Group has grown considerably in the past 3 years, from a licensee with one core license (YSL menswear) - to today's international business that manages its brands across a multitude of clothing lines and accessories • Marchpole's recent acquisition (March 2006) of Moda America - the US licensee for leading designer Emanuel Ungaro - brings further growth opportunities in the UK and America and strengthens the company's relationship with Ungaro • The acquisition also allows the company to launch the Ungaro brand, already established by Marchpole in Europe and Asia, into the US, Canada and South America. The acquisition also allows the company to re-launch JCC into America with effect from autumn/winter 2006 • Marchpole will launch the diffusion Ungaro Homme collection in the UK from Spring/Summer 2007 For further information on Homebody please visit: www.homebodylondon.co.uk This information is provided by RNS The company news service from the London Stock Exchange