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Press Release - DWI Holdings Inc. -18th Oct 2007

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Press Release - DWI Holdings Inc. -18th Oct 2007 Powered By Docstoc
					                          Himatsingka Seide Limited
             10/24, Kumarakrupa Road, High Grounds, Bangalore – 560 001


                                                                            October 18,2007

Himatsingka acquires DWI Holdings Inc., USA

Himatsingka Seide Limited has completed the acquisition of a 100% stake in DWI Holdings
Inc. (“DWI”). This was consequent to signing definitive agreements in New York on October
18, 2007. Himatsingka acquired the stake through its wholly owned subsidiary, Himatsingka
America Inc.,

This acquisition follows the acquisitions of Giuseppe Bellora SpA, in February 2007 and
Divatex Home Fashions Inc., in July 2007. The acquisition of DWI is in line with
Himatsingka’s strategy to forward integrate by acquiring high-end brands and large distribution
networks in the home textile space.

The enterprise value for the transaction was USD 30 Million. For the fiscal 2007, DWI
reported revenues of 47 Million.

Headquartered in Atlanta, Georgia, DWI has the licenses for the sourcing, marketing and
distribution of luxury home textile brands – Calvin Klein, Barbara Barry and Royal Sateen.
These brands are amongst the most prestigious and recognized home textile labels in the North
American market with Calvin Klein being the second largest luxury bedding brand distributed
through departmental stores in the United States. In addition, the Hospitality division of DWI
caters to the unique needs of five star and deluxe properties around the world.

DWI was founded by home textile industry principals – Mr. Michael Bernstein, Mr. Rudy
Schmatz and Mr. Dennis Cochran, in 2001. Mr. Michael Bernstein will continue to be member
of the Board and the CEO of the company. Messrs. Schmatz and Cochran will continue to be
the President and CFO of the company respectively. The incumbent management of DWI will
continue to drive growth strategies for the company.

Mr. Shrikant Himatsingka, Executive Director, Himatsingka Seide, said “The three acquired
entities will collectively contribute Rs 1100 crores in annual revenues. The acquisitions have
been made at reasonable valuations and will be accretive to us. In addition, they will consume
the entire capacity of the recently commissioned Rs.400 crore bedding facility. The group now
has five strong brands under its fold and is exploring the opportunity of bringing them to India
and other Asian markets. The revenues from our global distribution arms coupled with strong
retail growth will position us to achieve Rs 1200 -1300 crores in revenues next year.”

Mr. Michael Bernstein, CEO, DWI stated, “Himatsingka has a long tradition of manufacturing
luxury home textile fabrics which will be a great benefit to our brands. Becoming part of a
strong vertical group with strong product development capabilities will open up significant
opportunities for growth for DWI. This transaction will enhance our position in the
marketplace and will benefit all of our customers and associates.”
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                         Himatsingka Seide Limited
             10/24, Kumarakrupa Road, High Grounds, Bangalore – 560 001


Mr. Dinesh Himatsingka, Managing Director, Himatsingka Seide, said “We have positioned
ourselves uniquely by successfully implementing an integrated model. These initiatives have
given us critical mass which will enable us to explore new growth opportunities in the future.”

Said Tom Murry, President & COO of New York-based Calvin Klein, Inc., “We are very
pleased with the strategic alliance created by this transaction. Himatsingka is a world class
company with excellent textile manufacturing capabilities and when combined with DWI's
marketing and distribution expertise we will have an unparelled vertical home textile
business.”

Calvin Klein, Inc. is one of the leading fashion design and marketing studios in the world. A
wholly owned subsidiary of Phillips-Van Heusen Corporation [NYSE: PVH], Calvin Klein,
Inc. designs and markets women’s and men’s designer collection apparel and a range of other
products that are manufactured and marketed through an extensive network of licensing
agreements and other arrangements worldwide. Brands/lifestyles include Calvin Klein
Collection, ck Calvin Klein, Calvin Klein, and Calvin Klein Jeans. Product lines under the
various Calvin Klein brands include apparel, accessories, shoes, underwear, sleepwear,
hosiery, socks, swimwear, eyewear, watches, jewelry, coats, and fragrances, as well as
products for the home.

				
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posted:10/30/2011
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