Apparel Enterprise M&A Trends

- Jul 11, 2020-

Apparel enterprise M&A trends

—Expand and derive around the main business. Undoubtedly, apparel companies' merger and integration of brands and the construction of multi-brand comprehensive groups are the main ways for enterprises to become stronger and bigger. Compared with self-innovation brands, M&A is a mature brand with a certain market awareness, which is less risky for the company’s future expansion, and it can enrich the company’s multi-brand camp, broaden and enrich the enterprise product line, and help both parties in channel and brand promotion. Realize complementary advantages in the field. This trend can be glimpsed from the actions of apparel companies in the capital market in the first quarter of this year.

However, whether it is horizontal and vertical M&A industry integration or cross-border diversified development of hybrid M&A, it is necessary to conform to the company’s development strategy and capital logic, and it also requires apparel companies to adhere to, optimize and expand their traditional main businesses. With the further advancement of the marketization reform of mergers and acquisitions, resources are reorganized and regenerated under the drive of capital. It can be expected that the future integration of the apparel industry will become more obvious. The phenomenon of mergers and acquisitions, mode differentiation and industrial integration of listed apparel companies will become the norm. The business rules of the stronger and the survival of the fittest will remain unstoppable and become the only rule of survival for the industry.