The PAS Group has sold off its brand Metalicus to the General Pants Group following 'disappointing' profitability.
Metalicus sales during FY2016 hit $25 million, however the divestment has been made to ensure positive EBITDA for PAS Group in FY2017.
PAS Group CEO Eric Morris said that the decision has been made to focus on the growth of other brands under its portfolio.
“The divestment of Metalicus is a positive outcome for the company.
Metalicus has been a long standing, valued brand within our portfolio; however its performance has been challenged in recent times.
“We are excited about the future of PAS and the growth opportunities available.”
General Pants Group CEO Craig King believes there is a strong future for Metalicus following the acquisition of the business.
“We have long been admirers of the Metalicus brand throughout its evolution.
“We are excited to acquire the brand and build on its strong heritage for today's consumer.”
At this stage, all lease obligations for Metalicus retail sites are expected to transfer with the business.