Re growth options - I wonder what other retail/fashion formats they could consider in ANZ? They certainly know how to manage staff, customers, suppliers, landlords, online sales, logistics etc etc. These are core capabilities that could be leveraged outside of sneakers.
Hence, I'm totally on board with this small acquisition for adjacent growth in ANZ. I suspect they've been looking for a while but have been picky about what they wanted. Much seems similar in strategy to AX1 (exclusivity, high margins, hip fashion) - seems like a great opportunity to grow the business outside shows. Also, it seems just bite-sized ... so maybe some more adjacent growth opportunities will be announced soon?
IMO this growth strategy is much safer than moving OS (especially as they don't have exclusivity of shoe brands/models outside ANZ).
AX1 Price at posting:
$1.62 Sentiment: Hold Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)