Womenswear retail chain Noni B will acquire Pretty Girl Fashion Group for over $75 million.
The shock announcement follows Noni B's major profit collapse in 2014 before regaining momentum last financial year.
The acquisition will see the expansion of Pretty Girl's speciality apparel offering encompassing Rockmans, W.Lane, Table Eight and BeMe spanning a store network of around 600.
Noni B CEO and MD Scott Evans said that the acquisition will aim to boost business following the retailer's return to profitability.
"This acquisition is transformational for Noni B and brings together four highly synergistic and complementary brands, with each catering to its own loyal customer.
"Over the past 12 months, the team at Noni B have restored the business to profitability.
"With the acquisition of these already strong and profitable retail brands, the Noni B Group will become one of the pre-eminent apparel retailers in Australia with a focussed market position."
The acquisition will $65 million in cash, $9.7 million in shares and up to $7.3 million in cash over two tranches depending on the revenue performance of existing Pretty Girl stores.
Subject to satisfaction of condition, the transaction is set to close off in September.