Clothing designer and retailer Aritzia Inc. says it has signed an agreement to buy a Reigning Champ, a designer and manufacturer of premium athletic wear.
Under the agreement, Aritzia will acquire a 75 per cent stake in the company based on an enterprise value of approximately $63 million.
The remaining 25 per cent interest held by Reigning Champ's management shareholders will be converted into Aritzia shares in up to three instalments from 2024 to 2026.
Aritzia chief executive Brian Hill says the deal accelerates the company's expansion into men's clothing.
Reigning Champ's senior leadership team will continue operating the business in partnership with Aritzia through a transition period of approximately five years.
The deal is expected to be completed later this month, subject to customary closing conditions and approvals.
.jpg "Police warn of six overdose deaths in Surrey, B.C.")
