Private-equity rivals bid for Hong Kong tag-maker SML Group
Private-equity businesses are among firms preparing bids to buy Hong Kong garment-label maker SML Group.
The companies – Bain Capital, Boyu Capital and MBK Partners – are believed to have already made formal offers for the firm, according to those familiar with the transaction. Although details of the bids remain tightly held, it is expected that the sale could be worth US$400–500 million.
SML Group has been working with Citigroup since at least January in its attempts to attract a buyer for the business. The company makes hang tags, price tickets, and woven and printed labels, as well as buttons and zippers.
Founded in a warehouse office in 1985, the company has since expanded both organically and via acquisitions.
The firm began in a warehouse in Hong Kong more than 30 years ago and now boasts factories or offices in 30 countries, including Indonesia, Spain, the US and Mexico.
None of the parties involved in the potential transaction have thus far not issued comments to the media.