Business news : Columbia Sportswear Company Forms Joint Venture With Swire Resources in China

Columbia Sportswear has agreed to create a joint venture with Hong Kong-based Swire Resources to accelerate the growth of both the Columbia and the Mountain Hardwear brands in China. Swire Resources, a subsidiary of Swire Pacific, will hold 40 percent of the venture, while the U.S. outdoor company will control 60 percent. Swire has been Columbia’s distributor in Hong Kong and Macau since 2002 and in China since 2004. As of June 30,  Swire’s affiliated wholesale traders operated 530 Columbia and 45 Mountain Hardwear stores in Greater China, while Swire itself had 70 additional stores in seven cities. Last year, Swire had turnover from Columbia Sportswear’s products of around $123 million. The joint venture is still subject to various conditions such as the approval of local regulatory authorities, and is set to start operations on Jan. 1, 2014. Swire Pacific is a large Hong Kong company with various operations in industries such as aviation, property, beverages, marine services, and trading and industrial.

( by SGI Europe through Ispo News blog)