Mosaic Brands has pledged to acquire the remaining 49.9% of the online fashion company EziBuy.
The purchase will significantly accelerate Mosaic’s online sales, nearly doubling the Group’s online revenue to $ 218 million per year.
Mosaic Brands CEO Scott Evans said the company has been pleased with EziBuy’s performance since becoming Mosaic owned.
“When we bought a 50.1% stake in EziBuy in late 2019 for just $ 1, it’s fair to say that the brand was a bit unloved and its potential underestimated.
“We have been working quietly and constantly in the background to turn the business around and in just 18 months we have generated EBITDA of $ 3.7 million for fiscal 21.
“We continue to see this channel accelerate with the passage of many customers to the Internet and EziBuy is a natural choice for the Group and has a solid growth plan to implement.
“Q2 to Q4 sales in the last fiscal year were up from the previous corresponding period and EziBuy started fiscal 22 positively,” he said.
The agreement to purchase the remaining part of the business will be subject to obtaining all approvals, including regulatory approvals.
Once the purchase is cleared, Mosaic’s $ 11 million completion payment is due by June 30, 2022.
EziBuy was established in 1978 by the Gillespie brothers as a small mail order business in Palmerston North, New Zealand.
Since then, the company has grown to become a market leader in apparel and housewares catalogs, sending over 23 million catalogs per year and processing over 1.75 million orders per year. to customers in Australia and New Zealand.