RCG Corporation Limited (ASX:RCG)
has announced it has entered into an agreement to acquire branded athleisure footwear group Hype DC for approximately $105 million.
The deal will see RCG acquire sixty stores across Australia for six times EBITDA.
The purchase complements the RCG portfolio, which currently includes The Athlete’s Foot and Accent Group, a footwear distributor and branded store operator.
Following the acquisition of Hype DC, RCG is now targeting annualised FY17 earnings of $90 million.
RCG Corporation Limited reported a net profit of $16.17 million at 27 December 2015.