Wenzhou shoe mergers and acquisitions foreign brands

From agency rights to ownership, from strategic cooperation to mergers and acquisitions... Wenzhou shoe and apparel companies have kicked off a new round of overseas M&A. On May 18th, Aokang, the country’s largest privately-owned shoemaking company, signed an agreement in Shanghai with Italian footwear brand Manleyweed to acquire Wanliweed’s ownership in Greater China.

In mid-June, more than 30 leather garment enterprises in Wenzhou will travel to Italy to discuss cooperation with world-class brands such as Versace and Armani. The pursuit of the acquisition or capitalization of these "old" brands is the most important purpose of Wenzhou entrepreneurs' trip.

Wanliweed has more than 2,300 stores worldwide. The Greater China area acquired by Aokang involved mainland China, Taiwan and Hong Kong. In the future, O'Connell will complete the research and development, design, manufacturing and brand marketing of Maliweide in the above areas.

Xie Yufang, vice chairman of the China Leather Association and secretary general of the Wenzhou Shoe Industry Association, told the reporter: “If these acquisitions, mergers and acquisitions or the participation of these first-line brands, will help Wenzhou leather shoe industry transformation and upgrading and accelerate exports.” It is reported that the financial crisis broke out. Afterwards, many Italian and Spanish traditional shoe companies hope that the cooperation will be even acquired, which provides an opportunity for Wenzhou enterprises to achieve overseas mergers and acquisitions.

Marriage in Europe "old", no doubt for the competitiveness of Wenzhou shoes. Aokang chairman Wang Zhenlu said that after the acquisition was successful, many of Millleyweed’s “keeping skills” will really be used by Aokang. These technologies will greatly promote the overall quality of all brands under the Aokang line.

According to the plan, Aokang will use 3 years of investment and investment of 5.6 billion yuan to build the brand into the most competitive high-end brand in China and Asia-Pacific, and enter more than 300 domestic high-end shopping malls.

In recent years, China's leather clothing and garment enterprises are facing more and more "export barriers." Take the export of leather shoes only as an example. Some European countries have proposed to use the “green skin” standard to restrict the import of Chinese leather shoes, while the United States requires that “the shoe head must withstand 35 kg of pressure”. Now the EU has also proposed that leather shoes must have not only the country of origin but also environmental protection signs, ingredient signs, and so on. If the successful acquisition of a local brand, it will help solve the above export barriers.