Iconic Australian designer Lisa Ho has revealed a string of further changes set to shape the brand's future, following her decision to take the company public.
Ho, who established her eponymous fashion label 1982, confirmed her intention to list on the National Stock Exchange of Australia (NSX) earlier this month.
The public listing is scheduled to take place on April 16, with interested shareholders expected to shell out at least $2,000 for 10,000 shares.
The offer is due to open to investors on February 27, with all shares are to be issued at a price on $0.20 per share. The company is aiming to raise a minimum of $1.5 million and up to $1.7 million.
Documents obtained by ragtrader.com.au have revealed the funds from the listing will be funnelled into expansion of the brand, locally and on an international scale.
In particular, Ho will look to build her brand's presence in the US, where her designs have been promoted through various celebrities and promotional events in recent years.
The designer stated that she sees the US as a “natural market” for the brand, which will also present opportunities to expand the markets into which the label can be sold.
Under her direction as CEO and chair of the board, the Lisa Ho group will also increase overseas promotions within the next six months, and look to establish a global retail network within the year.
“The Lisa Ho group will consider opening flagship stores as appropriate in strategic markets to showcase the designs rather than a significant source of sales in themselves. The first such store expected to be opened in the US.”
Ho also outlined her vision for the business on local soil, with plans to expand her online store and also refurbish seven of her existing David Jones concession stores within the next six months.
The updating of the online sales portal is expected to be completed by June this year, and Ho has indicated that she will also look to capitalise on other opportunities. This includes “high profile contract design work, such as the designing of uniforms for the Commonwealth Bank” and investigating how to better exploit her large catalogue of unused patterns and designs.
The online portal revamp will include additional content, product stills and video and styling info clips, as well as branching into portals dedicated to sales in particular markets.
Following this, the company will concentrate on the expansion and upgrade of the VIP programme, and is expected to roll out a further four additional David Jones concessions within the next 12 to 18 months.
Ho currently operates 10 flagship stores across Australia, two clearance stores and her existing online store.
The business has recorded a gross income of of $9.8 million, $9.5 million and $6.5 million in the past three financial years.
This translated to operating profits in 2010 and 2011 financial years, however, the company confirmed it suffered a loss in the 2013 financial year as a result of “one off business issues”.
Outlining the risks of investment in a 56-page prospectus, the company also attested to the declining Australian fashion retail market and tough trading conditions.
As a result, the company also stated that it expects to conduct an increasing proportion of its business outside Australia.