Chinese fashion apparel company Shanghai La Chapelle Fashion Co. Ltd., is investing RMB20 million ($3.04 million), through its subsidiary, Shanghai La Chapelle Enterprise Management Co., into Hong Kong’s Niologie China Limited, which operates the lifestyle store brand tanni.
Upon completion of the transaction, la Chapelle will directly hold 16 percent of the shares of Niologie China Limited.
The brand, which entered mainland China in 2010, offers a wide range of products, including ladies’ apparel, handbag, footwear, accessory, and houseware products. It is also best known for its floral and specially designed prints and targets ladies between 25 to 40.
Through the investment in tanni, La Chapelle said it can enrich its mid-range to high-end product mix and accelerate the development of its multi-brand strategy, while tanni can leverage the group’s strong channels and supply chain management capability to realize rapid expansion and improve margins.
“”With the constantly changing fashion trends in apparel and the need to satisfy consumers’ requirements for a more sophisticated shopping experience, apparel retailers have to adjust their sales model in order to capture first mover advantages and expand market share amid intense market competition,” said Wang Yong, Executive Vice President of La Chapelle.
(Source: Enterprise Innovation)