Perry Ellis To Acquire TSI
Miami-based Perry Ellis International Inc. is to acquire certain domestic operating assets of Tropical Sportswear International (TSI), Tampa, Fla., as well as the outstanding capital stock of TSI's United Kingdom-based subsidiary, for $85 million in cash. TSI recently filed for voluntary Chapter 11 bankruptcy protection. The acquisition will add several brands including Savane® and Farah® to the Perry Ellis portfolio.
"With this acquisition, we will become a key player in the men's casual and dress bottoms market, increasing our overall market share and importance in the men's apparel industry," said George Feldenkreis, chairman and CEO, Perry Ellis. "The combination of our existing bottoms business with that of TSI is expected to result in a combined bottoms business in excess of $350 million."
The purchase, which will be funded by proceeds from Perry Elliss senior credit facility, is
expected to close by the end of this month.