Billabong looks to sell online retailers


surfstitchAiling surfwear icon, Billabong, is considering selling online retailers and as it works to shed excess baggage and focus on its core brands.

Neil Fiske, CEO of Billabong, said the company had decided to undertake a strategic review of the two online retailers, with a view to putting them up for sale.

Fiske said the review was part of Billabong’s efforts to consolidate its operations to focus on single-brand retailers.

He said SurfStich, which operates in Australia and Europe and Swell, which is focused on North America, would be attractive to prospective buyers.

“Given the consistent growth and performance of these assets, we believe that there is an opportunity to progress our mono-brand ecommerce strategy and at the same time unlock value for Billabong shareholders.”

Billabong also announced it had entered into a new agreement to extend its involvement with RVCA, one of its fastest growing brands, until 2018.

Meanwhile, the company revealed it had sold its underperforming Canadian business West 49 for $3 million, well below the $9 million to $11 million it hoped to earn from the sale.

Billabong paid $CAD99 million for the retailer in 2010.


You have 7 articles remaining. Unlock 15 free articles a month, it’s free.