DELTA AND SCHIESSER - AWINNING COMBINATION!
On May 1st 2012, Delta signed an agreement
to purchase a number of companies in the
Schiesser group and other companies under
its control, which are engaged in the branded
activity in the field of underwear.
The acquisition of Schiesser is a part of Delta’s
general strategy to expand its branded activity
segment. Following the acquisition,
Isaac
Dabah
-
Delta’s CEO - congratulated all of
Schiesser’s employees on their joining the Delta
family, and expressed his gratitude to all of the
Delta employees for their dedication and hard
work, thanks to which Delta has successfully
grown and developed.
Isaac Dabah
: “
The acquisition
meets each one of our
strategic criteria: It was a
natural step for us, conducted
in perfect synergy with the
company’s activity in the
underwear industry.”
Isaac:
We have acquired the leading
brand in Europe’s best economy.
We have purchased the leading
company in Germany’s underwear
industry at the right time and for
an attractive price. Schiesser is a
profitable brand, with significant
growth potential in Europe. Schiesser
benefits from high consumer awareness
in Germany, similar to that of Delta in Israel.
50%
of the German population owns a Schiesser
product. It was a natural step for us, which
was conducted in perfect synergy with the
company’s activity in the underwear industry.
The acquisition was part of Delta’s growth and
expansion strategy and we predict that it will
already contribute to its profitability this year.
We consider this acquisition to have great
growth potential in the coming 3 years, and we
expect a double digit growth rate.
“
Fits Like a Glove”
The Schiesser acquisition offers Delta a variety of
strategic advantages:
•
Strengthening the Brand Business:
Following the acquisition, Delta’s branded
segment will increase from 33% to 47%.
•
Strengthening the Presence in Europe
:
The Schiesser acquisition will increase
Delta’s activity in Europe from 24% to 40%
of all of its activity and will contribute to a
better distribution of its sales.
•
Strengthening the Men’s’ Business
:
The
acquisition will increase Delta’s sales in
the men’s category from 13% to 23% of all
sales!
In an interview to WWD Magazine,
Isaac Dabah
was quoted saying: “Schiesser fits Delta like
a glove. The acquisition meets each one of
our strategic criteria and it will add a branded
component to Delta, which historically was
dependent upon private label sales.”
“
Schiesser benefits from
high consumer awareness
in Germany, similar to that
of Delta in Israel. 50% of the
German population owns a
Schiesser product.”
Increase Delta’s Branded Business
Pro Forma (DELTA & SCHIESSER)
Current Delta
B d d
Private
Label
53%
Branded
47%
Private
Label
67%
ran e
33%
Increase Delta’s Branded Business
Pro Forma (DELTA & SCHIESSER)
Current Delta
B d d
Private
Label
53%
Branded
47%
Priv
La
67
ran e
33%
▲
Delta’s branded segment (light blue): Before (right)
and after the Schiesser acquisition.
◄
WELCOME
Under Cover
4
