Printer Friendly

HANOVER DIRECT ACQUIRES TWEEDS CATALOG; SCOPE OF COMPANY'S WOMEN'S FASHIONS OFFERINGS EXPANDED

 WEEHAWKEN, N.J., Sept. 8 /PRNewswire/ -- Hanover Direct, Inc. (AMEX: HNV) today announced that it has entered into an agreement to acquire the stock of Tweeds, Inc., the upscale women's fashion catalog. The acquisition includes Tweeds' state-of-the-art telecommunications and fulfillment center in Roanoke, Va. The purchase price will consist of approximately $3.9 million in Hanover Direct common stock and the assumption of $5.1 million in bank and other long-term debt. The closing of the transaction, which is subject to customary conditions, is scheduled to take place in September.
 "Tweeds is a well-established brand name in the women's apparel market, and this acquisition strengthens our position in that highly competitive segment," said Jack E. Rosenfeld, president and CEO. "There has always been strong consumer demand for Tweeds' proprietary fashions. We intend to strengthen the profitability of the Tweeds catalog through the use of our proprietary 16-million-name mailing list and the synergies that exist with our operations."
 Mr. Rosenfeld noted that Tweeds, which appeals to upper-income women across a range of ages, broadens Hanover Direct's women's offerings, which are currently focused on specialized niches. The catalogs include Silhouettes, which offers an extensive collection of clothing and accessories to large-size women; Simply Tops, which offers a wide array of distinctive contemporary wear to women of all ages; and Essence by Mail, which features fashions, books, art prints and collectibles primarily to African-American women.
 "The acquisition of Tweeds strengthens our access to the high end of the market, which has attractive growth potential," said Mr. Rosenfeld. "It is also an essential part of our strategy to build or acquire catalogs whose `brand names' are dominant in their market niches, whether in home furnishings, general merchandise or women's and men's fashion."
 The agreement to acquire Tweeds is the third catalog acquisition by Hanover Direct in recent months. Gump's, the San Francisco specialty retailer and its upscale catalog, was acquired in July. The Company Store, a leading direct marketer of high-quality down comforters, other down products and home furnishings, was acquired earlier this month.
 Hanover Direct, which recently changed its name from The Horn & Hardart Company, is the largest multi-title direct retailing company in the U.S. Hanover Direct is headquartered in Weehawken.
 -0- 9/8/93
 /CONTACT: Michael P. Sherman, executive vice president, 201-319-3403, or Wayne P. Garten, executive vice president, 201-319-3452, both of Hanover Direct, or Gregory William Miller of Robinson Lake/Sawyer Miller, 212-484-7404/


CO: Hanover Direct, Inc.; Tweeds Inc. ST: New Jersey, Virginia IN: REA SU: TNM

TW-TS -- NY026 -- 9742 09/08/93 10:55 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Sep 8, 1993
Words:426
Previous Article:PRINCETON DENTAL MANAGEMENT CORPORATION TO ACQUIRE DENTAL PRACTICE
Next Article:E-SYSTEMS AWARDED OPTIONS OF $70.5 MILLION ON FAA CONTRACT
Topics:

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters