From the AFR:
Iconic Australian boot maker RM Williams could be sold, with owner Ken Cowley believed to be seeking offers of around $100 million for the 81-year-old business.
…Potential buyers for the business include accessories company Oroton Group, luxury brand owner LVMH and Solomon Lew’s Premier Investments. Department stores such as Myer and David Jones are also thought to have been approached.
RM Williams, which was founded in 1932 by Reginald Murray “RM” Williams, now exports to 15 countries, has more than 50 retail stores in Australia and two international stores in London and New York.
The business is thought to earn $10 million or so. As far as I’m aware it still manufactures most of its products, the leather ones at least, in South Australia. Cheaper stuff – t-shirts et al – come from China.
It would be a brand risk to shift production offshore but it would certainly be profitable as well with the dollar where it is. Private equity could overpay, gut, float and run. Watch this space.
