Seafolly is bought to overseas purchaser Bondi Brands Group simply months after the swimwear firm break up Australia with non-binary mannequin Deni Todorovič
One of Australia’s most iconic swimwear manufacturers has been bought simply months after prospects threatened to boycott the label over its inclusion of a non-binary mannequin.
Seafolly, a model promoted by fashions comparable to Lara Worthington, Miranda Kerr and Gigi Hadid, was bought by American retail specialist L Catterton in a deal value round $70 million.
The sale comes simply months after the swimwear firm was bailed out of administration and compelled to chop its operations in half from 60 to 30 shops.
Seafolly’s abroad purchaser is the Bondi Brands Group, which was first established in June, in line with paperwork from the Hong Kong Companies Registry.
The major founder is clothes producer Vision Brands Group, with the corporate additionally having ties to different offshore shareholders, the Australian Financial Review stories.
One of Australia’s most iconic swimwear firms has been bought to an abroad purchaser for $70 million (pictured is Seafolly’s world ambassador Jesinta Franklin)
Seafolly triggered a backlash in March when non-binary activist Deni Todorovič, who makes use of she/she pronouns and identifies as non-binary, was pictured carrying lime inexperienced Seafolly bikini bottoms and an identical cover-up (pictured)
The firm was first put up on the market 4 months in the past and FTI Consulting was introduced in to deal with the sale of certainly one of Australia’s most nostalgic swimwear manufacturers.
Seafolly sparked backlash in March when non-binary activist Deni Todorovič, who makes use of she/she pronouns and identifies as non-binary, was pictured carrying lime inexperienced Seafolly bikini bottoms and an identical cover-up.
Writer Alexandra Marshall spoke out towards the marketing campaign, saying the swimwear model was “mocking women” and warned she would boycott Seafolly.
Bye @seafolly. Never once more. Have been shopping for swimwear from you for a few years. Never once more,” she wrote on Twitter.
Boycott boycott boycott @seafolly erasing girls is NOT OK! Push your merchandise away. I’m prepared!’ one other consumer wrote.
Others took purpose at Todorovič on Instagram, with one writing: ‘Since when do women have penises in their bikini bottoms. This is beyond disgusting and Deni, you’re making an attempt to weed out organic girls. regrettable.’
However, many others left optimistic feedback on Seafolly’s official Instagram web page.
‘As someone who hasn’t shopped at Seafolly in years, I’m again now! I really like seeing manufacturers being inclusive and that’s the place I would like my cash to go,” one lady wrote.
“So great to see this, Seafolly. I love to see brands pioneering the celebration of pride and inclusion,” added one other.
The model has been modeled by Miranda Kerr on quite a few events
Lara Worthington final posed within the iconic swimwear in June 2021
The swimwear label was a household enterprise till 2014, when Hungarian immigrant Peter Halas and his spouse bought a 70 p.c stake to L Capital Asia for about $70 million.
Two years later L Catterton bought L Capital Asia and inherited a number of Australian manufacturers together with Seafolly, RM Williams and 2xU.
In 2018, the Halas household minimize all ties. In June 2020, Seafolly fell into administration.
As Australia went into lockdown as a consequence of Covid, Sydney-based funding agency KordaMentha was appointed as trustees and inside months had backed a ‘rescue’ proposal.
It is known that L Catterton put $10 million of fairness into Seafolly throughout the administration course of, with Longreach Credit Investors additionally offering funding.
The model has shrunk from 60 to 30 shops, however continues to be bought overseas, most notably at US division retailer Nordstrom.
Seafolly additionally sells by 2,100 different retailers, comparable to Australia’s David Jones.
FTI Consulting stated the corporate accounts for 32 p.c of Australia’s womenswear swimwear market and is on observe to earn $90 million this monetary 12 months.
American mannequin Gigi Hadid additionally wore the swimwear throughout a photograph shoot in 2015
The model has shrunk from 60 to 30 shops, however continues to be bought overseas, most notably at US division retailer Nordstrom (pictured, a Seafolly retailer)
This has been “driven by two consecutive years of strong double-digit growth across all channels and key markets” because the world emerges from the pandemic.
Seafolly’s income is anticipated to develop to $129.7 million within the 12 months to the tip of June 2026, in line with the corporate’s three-year marketing strategy.
About 56 p.c of present gross sales are in Australia and New Zealand, 24 p.c come from Europe, the Middle East and Africa, and 13 p.c from the US.
Up to 12 Seafolly shops achieved gross sales of greater than $1 million previously fiscal 12 months.
The newest accounts filed with the Australian Securities and Investments Commission (ASIC) present that Seafolly misplaced $91.9 million within the 12 months main as much as the June 2020 administration.
The firm had additionally misplaced $45.8 million in fiscal 12 months 2019/2020, the second half of which coincided with the onset of the pandemic and lockdowns.
THE HISTORY OF SEAFOLLY
Seafolly was based in 1975 by Peter and Yvonne Halas in Sydney.
According to their son Anthony, Seafolly’s origins had been easy:
My father, Peter Halas, arrived in Australia in 1956 as an immigrant from Hungary. He instantly fell in love with Sydney seashore tradition and even met my mum, Yvonne, in Bondi Beach,” he beforehand wrote to Daily Mail Australia.
‘Peter was working as a salesperson for a swimwear brand when he decided to start his own swimwear business.
‘The brand you know today as Seafolly actually started out as ‘Peter’s Folly’, that means he didn’t take it too significantly at first, it was extra of a ardour undertaking that grew into one thing a lot greater.
‘They have built the brand by staying true to the original mission of sharing the Australian beach lifestyle with the world.
Seafolly was the first company to notice the fitness trend, launching activewear in the mid-1970s. In the Jane Fonda-fuelled ’80s, Seafolly was truly a frontrunner within the class,” he added.
The couple’s son, Anthony, took over as CEO in 1998 and the model expanded into Europe, North America and Asia.
L Catterton Asia took a majority stake within the firm in December 2014.
Seafolly went into administration in June 2020 with the Covid-19 pandemic blamed for his woes.
