ST. LOUIS, June 13 /PRNewswire-FirstCall/ -- Kellwood Company (NYSE:
KWD) announced an agreement today to acquire Hanna Andersson Corporation,
according to Robert C. Skinner, Jr., Kellwood chairman, president, and
chief executive officer.
Headquartered in Portland, OR, Hanna Andersson, which is known for its
superior quality and colorful designs, is a leading brand in the specialty
children's apparel market. Utilizing a multi-channel distribution strategy,
the products are marketed through the company's catalog, 18 retail stores
and its website (HannaAndersson.com). Sales for 2006 were approximately
Founded by a Swedish mother, Gun Denhart, and her American husband,
Tom, in 1983, the company is named for her grandmother, Hanna Andersson.
She started a children's clothing business in America when she could not
find beautiful quality, pure cotton kids clothes like those she had known
in Sweden. Gun commented "It's terrific to know the little company Tom and
I started, with a simple commitment to the customer, high quality and
strong sense of corporate responsibility, has the opportunity to partner
with Kellwood to help Hanna realize its full potential".
Skinner stated, "The Hanna Andersson acquisition complements our
business and brand portfolio corporate strategy in several ways. As we have
stated, one of our goals is to expand into upscale brands, and Hanna
Andersson positions Kellwood in the better category of children's apparel.
Another part of our strategy is to connect more directly with the consumer.
The Hanna Andersson business model is focused on a direct to consumer
format with a rich media eCommerce web site, colorful catalogs, and an
inviting store format. In addition, Hanna Andersson complements and
strengthens our successful and strong children's business platform that we
have established with Gerber Childrenswear."
The Hanna Andersson management team will continue to be led by Philip
Iosca, president and CEO. "Phil and his team have done an excellent job
building the Hanna Andersson business over the last 12 years," added
Iosca commented, "I am excited Hanna is partnering with Kellwood, a
company that appreciates our brand and its position in the marketplace.
Kellwood has the resources to help us grow and a leadership team that
shares our corporate values and vision for the future".
Kellwood will purchase the company for approximately $175 million, and
the Company anticipates the acquisition will be accretive in the first full
year before purchase accounting. The transaction is expected to close by
the end of the fiscal second quarter. Kellwood was represented by J.P.
Morgan Securities Inc. and Hanna Andersson by CIBC World Markets. The
current ownership principally consists of Castanea Partners, Dorset
Capital, and company management.
Statements in this press release that are not strictly historical are
"forward-looking" statements within the meaning of the safe harbor
provisions of the federal securities laws. Actual results may differ
materially due to risks and uncertainties that are described in the
Company's Form 10-K and other filings with the SEC. The Company undertakes
no obligation to release publicly the results of any revisions to these
forward looking statements that may be made to reflect events or
circumstances after the date hereof or to reflect the occurrence of
ABOUT KELLWOOD COMPANY
Kellwood Company (NYSE: KWD), a $2 billion marketer of apparel and
consumer soft goods, specializes in branded as well as private label
product, and markets to all channels of distribution with product specific
to a particular channel. For more information, visit
SOURCE Kellwood Company