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PDS UK subsidiary signs license agreement for Forever 21

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Capital Market
Last Updated : Jun 03 2022 | 4:31 PM IST

Agreement includes manufacturing and distribution in UK and EU regions.

The company's UK-based subsidiary, Poetic Brands, has entered into a license agreement with the Authentic Brands Group (ABG) for the Forever 21 brand. As per the agreement, Poetic Brands has been granted the rights for the manufacturing, marketing, and distribution of Forever 21 in the United Kingdom and European regions, including Germany, France, Spain, and Switzerland amongst others.

Poetic Brands will drive the growth of the brand across categories including womenswear, menswear, kids wear, athleisure, swimwear, and fashion accessories. Forever 21 brand will be distributed through leading full‐price retailers and popular e‐commerce platforms across UK and EU. Poetic Brands also has the opportunity to create Forever 21 shop‐in‐shops. With this acquisition, Poetic Brands which currently operates with Rs 260 crore ($35 million) topline will expand its licensed portfolio to include Forever 21.

Commenting on the announcement, Pallak Seth, vice‐chairman of PDS said, "The brand drives innovation across retail, providing designs, fabrications, and fits for customers at an affordable price. Through our relationship with Forever 21, we will deliver quality products and great style to consumers in the UK and Europe, while opening doors to bring on board the best in class partners in our supply chain."

Sanjay Jain, group CEO at PDS added, "Forever 21 over the years has emerged as a much‐loved brand that caters to discerning and price‐sensitive audience. We are looking forward to building the Forever 21 brand while delivering superior products and services to consumers in the UK and EU. PDS is consciously evaluating its portfolio to expand value‐added service and high‐margin products and categories. This relationship provides the PDS platform a high growth, fast fashion category."

PDS (PDS Multinational Fashions) operates an integrated design-led platform offering product development, sourcing, virtual manufacturing, and distribution for major brands and retailers worldwide.

On a consolidated basis, net profit of PDS rose 27.9% to Rs 77.13 crore on 57.3% rise in net sales to Rs 2,775.44 crore in Q4 FY22 over Q4 FY21.

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Shares of PDS were down 0.93% at Rs 1,679.55 on the BSE.

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First Published: Jun 03 2022 | 3:27 PM IST

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