Isaac Dabah, CEO of Delta Galil, is “returning to [his] first love” with the company’s purchase of 7 For All Mankind, Ella Moss and Splendid from US firm VF Corporation. The transaction – costing Dabah’s firm $120 million – is said to be Delta Galil’s “largest-ever acquisition.” It is expected that this enterprise will boost the firm’s per-share earnings from 2017.
Dabah said that the reason the firm made the purchase now was due to the decline in prices and these particular firms “completely suits Delta’s strategy,” while having a great “profit potential.” The firm has not made such deals for any years, choosing not to take chances, but now is a good time. The stock market complimented the move, with a jump in share prices by 13.7% to $26.80, its largest one-day gain in more than four years.
Denim has been around for centuries, having been first introduced in America for use in the middle of the 19th century. Its popularity began some years later in 1873 from Nevada-based tailor Jacob Davis manufactured the first pair of rivet-reinforced denim pants. According to an article in Cotton Incorporated, “Denim jeans represent an estimated $60 billion global market for retailers.”
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