Dive Summary:
- American Apparel has announced the purchase of New York retailer Oak, a brand with two locations in New York City, in addition to an e-commerce site.
- “I’m excited by this because I saw an opportunity to build Oak without a lot of extra costs,” says American Apparel CEO Dov Charney.
- Oak will operate as a separate division from American Apparel. Sales for Oak clothing totals $5 million annually, but the American Apparel has aggressive plans to expand the brand into new markets.
From the article:
According to Terline, the three have been in talks for the past year and half. And apparently it didn’t cost American Apparel that much, as the transaction was reportedly small enough that they didn’t have to disclose it to the Securities and Exchange Commission.
