PGC Acquires Substantial Stake in European Retailer Switcher Holdings SA (Global)

Tirupur (Tamil Nadu ,India) based PremDurai Exports Private Limited (Garment Export wing of 400 Cr PGC Industries & Group ) acquires controlling interest strategic stake in Switcher Holdings SA (Owner and Retailer of Brands : Switcher , Respect , Whale ) .
PGC was founded in Nov 11th 1983 by S.Duraiswamy . today the company is lead by two brothers D.Prem the Chairman (CMD) and Aadith.D.Vikram the Vice Chairman(VCMD) . PGC is vertically integrated from Cotton Spinning to garment Exports employing nearly 8400 people across its group companies .The group has been achieving an average growth of 60% in the last four years.
Back to the Roots :
PGC has always been a manufacturer for Switcher for nearly 3 decades and the founder of PGC Mr.S.Duraiswmay and the Founder of Switcher Mr.Robin Cornelius have always been close friends too since the 80’s . PGC has for more than a decade had the retail license for Switcher in India . Towards the end of last year (2009) PGC explored the possibility to acquire stake in Switcher Global Retail Operation (Switcher Holdings SA) and in July 2010 , PGC closed the deal .
Now a “C2C” Group :
PGC retails has been started aggressively looking on retail only for the past year and in one of expansion has opened 75 T-Mart Super Stores and has launched a new brands for the Indian market “Respect India” for mens , “Babyloons” for Infants wear apart from its Switcher Indian Retail Operation .
Talking to the Chairman Mr.Prem he said,“PGC has been supplying to Switcher for nearly 25 years now and we felt it was the right time for us to make a move to acquire stakes in Switcher Global". Post acquisition we project group topline to hit 640 cr (aprox 150 million usd) for year ending 2010-2011. The acquisition the stakes in Switcher Group would benefit Switcher Global as costs can be bought down across various cost centres like warehousing , IT, logistics , product design and development etc.” Mr.Prem also added that Mr.Aadith.D.Vikram (the Vice Chairman) of PGC Industries & Group is now appointed also as the Vice Chairman of Switcher Group along with Mr.Robin Cornelius as the Executive Chairman of the Switcher Group . The other directors are Mr.Prem Duraiswamy & Mr.Jerome De Meyer .
Financials of the Deal :
The Management of PGC did not disclose the financials nor the percentage of shares acquired of the deal but thanked its bankers , lawyers , auditors & m&a consultants for helping to close the dea successfully .The only disclosed information on the new ownership & management was that now the 100% share of the company was held jointly by PGC & Mr.Robin Cornelius held together and that the stake from the other past equity investors where bough over too from the past financial investors in Switcher Group as a portion of the deal . PGC now is said to hold substantial Stake in Switcher Group .
About Switcher :
“Switcher has its presences in Switzerland, Germany, France, Austria and in other European countries. Being a Swiss based brand , Switcher sells approximately 7 Million garments in Switzerland alone and has a brand recall of 92% population of Switzerland and more than 360 Stores , Corners & Point of Sales in Retail and half the business comes from corporate textile solution where the brand is said to have a strong hold ,” said the Vice Chairman Mr.Aadith.D.Vikram .

• Over 300 Point of Sale & 60 Exclusive Stores in Switzerland .
• Over 1150 Corporate Clients in Switzerland , France , Spain , Netherlands , Denmark , Sweden , Norway , Finland , Italy , Dubai and other parts of Europe ) .
• Supplies from Over 30 Suppliers & 8 Counties where manufacturing takes place ( Portugal , Slovakia , Turkey , Romania , India , Bangladesh , China and Taiwan ) and some sourcing directly or indirectly also from (N.Zealand , Mali , Indonesia , Korea & Pakistan ) .

Expansion of Switcher :
Mr.Aadith.D.Vikram added “ We are in the process of drafting a plan for expansion of Switcher India retail expansion which will be implemented soon in the coming months in 2011. A total revamp will be made to Switcher in India with a new look and feel like our Swiss exclusive stores and Store in Store Concept. We are also planning to expand Switcher in more European countries to increase our presence and network and specifically looking to expand in Germany , Norway & Sweden in the coming years“.
For more information http://www.pgcindustries.org/ & http://www.switcher.com/