HK fashion label maker SML mulls $500m sale of business

Jeans and a belt, a perennial fashion choices.

hom, a closely held garment label maker for fashion brands and retailers globally, is exploring a sale of the business which could fetch about $500 million, according to people familiar with the matter.

Hong Kong-based SML is working with Citigroup Inc. to seek a buyer for the business, the people said, asking not to be identified because the matter is private. The company has drawn preliminary interest from investment funds as well as other companies in the industry, the people said.

The company makes woven and printed labels, price tickets, hangtags as well as zippers and buttons, according to its website. Founded in a warehouse office in 1985, SML has since expanded both organically and via acquisitions. It counts offices and production sites in 30 countries including the U.S., Mexico, Spain and Indonesia.

A deal for SML would follow the sale of Hong Kong-based apparel label maker Trimco International Holdings Ltd. by Partners Group to Asian buyout firm Affinity Equity Partners for $520 million in 2018.

Considerations are still ongoing and SML could still decide against pursuing a sale, the people said. A representative for SML didn’t immediately respond to requests for comment, while a representative for Citigroup declined to comment.

Bloomberg

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.