Tokyo-based Laox Holdings is set to acquire fashion company Barneys Japan – which operates Barneys New York in Japan – from Seven & I Holdings for an undisclosed sum.
According to WWD Japan, the transaction is expected to be completed on May 1. Barneys Japan will then become Laox Holdings’ new subsidiary. As of February, the fashion company operated six flagship stores, four outlets and an e-commerce site in the country.
Laox Holdings expects to improve Barneys Japan’s sales and plan international expansion.
The company reported a 10 per cent year-on-year drop in sales for the year ended February 2023, generating about 12.7 billion yen (US$95.4 million). The company’s operating income and net income have been in the red in the past three years.
Barneys Japan was established in 1989 as a subsidiary of Isetan Mitsukoshi through a partnership with Barneys New York, with the first store opened in Shinjuku. Isetan transferred shares of the Japanese business to Sumitomo Corp and Tokio Marine Capital in 2006 as part of its business restructuring. In 2015, the company was wholly owned by Seven & I Holdings.
The acquisition comes after Seven & I Holdings announced its exit from the apparel business as part of the company’s structural reform plan.
