Hong Kong listed apparel retailer Dickson Concepts says it will not be renewing its licence to sell the US menswear brand Brooks Brothers.

Dickson, which has the licence for Hong Kong, Macau, China and “other designated territories in Asia” says the decision was reached “by mutual agreement”.

Brooks Brothers International will enter into an agreement with Dickson to buy the assets and pay an amount for goodwill when the licence expires on December 31.

In a statement to the stock exchange Dickson said it will “continue the development of its other luxury brand name businesses and actively seek new investment opportunities to further enhance its strong revenue and profit streams”.

Brooks Brothers has had a tough time gaining momentum in international markets. The company is known to be in discussions with Oroton Group over the future of its licence for Australia where the brand has failed to deliver profit for the listed Australian retailer.