R.G. Barry Corp. has acquired a Hong Kong-based handbag brand to add to its accessories portfolio, the Pickerington, Ohio-based firm announced Tuesday.
At the same time, the firm has integrated the operations of its former China-based sourcing agent into its Baggallini business unit.
The transaction was completed for $1.2 million in cash, and R.G. Barry now owns the principal working assets of Mosey Co. Ltd., and the Mosey fashion handbag brand.
“From a purely strategic standpoint, this is an exciting addition to our growing handbag coalition and to our future,” Greg Tunney, R.G. Barry’s president and CEO, said in a statement. “It institutionalizes within our business a wealth of expertise in sourcing a product category that we expect to grow to the size of our accessory footwear business within the next three to five years.”
He continued, “This action adds significant core strength, experience and knowledge to our current China-based sourcing team, while reducing duplication and costs within our handbag sourcing model.”
R.G. Barry SVP and CFO Jose Ibarra also noted the acquisition will lead to backroom synergies, which should be fully integrated by the end of the fiscal year.