Steve Madden Ltd acquired handbag label Big Buddha on Thursday in an agreement reportedly worth $11 million.
Big Buddha’s sales were around the $13 million mark last year, and with the influence of Steve Madden and the improving financial situation it wouldn’t surprise me if it eclipses those numbers in 2010. When you’re an affordable handbag brand pulling those kind of numbers in a financial crisis, the only way is up.
“Big Buddha is a dynamic young brand that is a great complement to our current accessories portfolio. The handbags have generated a lot of buzz in the marketplace, and the brand has developed a loyal following among consumers,” explained Ed Rosenfeld, CEO of Steven Madden. “The business has clear opportunities for continued strong top-line growth, and we look forward to using our resources at Steve Madden to help Big Buddha expand in new accounts, territories and categories.”
Both labels have produced some really exciting and edgy handbags this year. I’m keen to see what this business deal means for both brands in the future.
[Source: WWD]
[Image Source: Tonyab4/Photobucket]
