Global Sources Buys 80-percent Stake in Shenzhen Clothing Show
Global Sources bought a 80-percent stake of the China (Shenzhen) International Brand Clothing & Accessories Fair (SZIC), one of Asia’s largest fashion fairs, for US$17.3 million.
Shenzhen is a base for garment designing and manufacturing in China and SZIC, which was launched in 2001, has grown since its inception.
The 2011 event hosted about 300 exhibitors, 4,000 booths and 31,000 professional visitors.
"The apparel industry in China is moving from pure manufacturing to design and innovation, driving Chinese brands to become more well-known and prestigious, ultimately accelerating China's domestic demand,” said Global Sources' executive chairman, Merle A. Hinrichs.
He added that the 12th Five-Year Plan of China states its intent to put resources and focus into fostering the domestic fashion and textile industry.
According to the plan, the goal is for China to have between three and five internationally recognized brands and 100 nationally renowned brands, Hinrichs said.
"With SZIC's dominant presence in the burgeoning fashion industry combined with Global Sources' established global presence and strong network in China, the partnership positions both of us to take advantage of this emerging opportunity,” he added.
Hinrichs said, “We are excited about teaming up with the experienced professionals of the SZIC team.”
Besides Global Sources’ series of sourcing fairs in China, the company recently expanded overseas into the Brazilian Market as well.
There will be four collocated Fairs, and the events will enable manufacturers from China and other Asian markets to meet and do business with buyers in Brazil and surrounding countries, according to Global Sources’ officials.
Brazil is just one of several emerging markets Global Sources has focused on during the past few years, with new China Sourcing Fairs launched in up-and-coming consumer markets such as Dubai, Mumbai, Johannesburg, and most recently in Miami, to serve the Latin American market.