Apex Global Brands has reported the signing of several new licensing and distribution contracts for its Hi-Tec brand with partners in Europe, North America and Asia, and more partnerships may follow.
The company had previously announced the addition of new licensing deals for its Tony Hawk brand, including an interesting contract with Star Ride Kids for Tony Hawk big boys' apparel in North America. Meanwhile, the Batra Group, which already has a license for a Tony Hawk Signature Line, has expanded in North America with a line of upper-tier apparel and accessories that it has already launched under this brand name in Europe, the Middle East and Africa.
In a more recent release, Apex Global Brands, which was called Cherokee Global Brands until June, said it now has new distributors for Hi-Tec footwear in China and South Korea and says it is in advanced discussions to get Hi-Tec branded outdoor apparel and accessories into the markets of China, Japan and Korea.
Meanwhile, Hi-Tec has enlisted major retail chains in Europe, such as Urban Outfitters and Foot Locker, for the sale of its outdoor shoes, apparel and accessories.
In North America, Apex has licensed Kenmark for Hi-Tec sunglasses and prescription frames, Ampac for backpacks and bags and Affinity Brand Partners for tech accessories.
The Californian company, which also owns Magnum, 50Peak and other brands, has licensing agreements that have resulted in sales of their products by retailers at over 20,000 locations in 40 countries and through e-commerce.
Initially known as a footwear brand, Hi-Tec has diversified its product range under its new ownership. It launched its first men‘s and women‘s wear ranges a year ago, leaning on streetwear trends with a sporty appeal to propel sales.
The new deals should help Apex to boost its licensing revenues and to recover from a net loss from continuing operations of $2.3 million reported for the first quarter ended on May 4. The net loss was a slight improvement over the same quarter last year as the company's restructuring efforts began to take hold.
Higher U.S. import tariffs on apparel and footwear and Brexit in Europe continue to muddy the outlook for Apex. The group blamed the economic uncertainty around Brexit for a drop in revenues from Europe during the first quarter. Its total revenues were down to $5.1 million from $5.4 million in the year-ago period, but the adjusted Ebitda grew to $1.2 million from $1.0 million.